Question: - Complete the following table. (1-4-4marks) # Present value Future Value Interest rate Time Period 4,500 6,500 ? 3 9,000 12,000 5.5% ? ? 25,000
- Complete the following table. (1-4-4marks) # Present value Future Value Interest rate Time Period 4,500 6,500 ? 3 9,000 12,000 5.5% ? ? 25,000 2.5% 2 iv 55,000 ? 5% 5 b- You are going to receive 25,000 at the end of year 3. You have been given four options 15,000, 12,000, 18,000 and 22,000. If 7.5% rate has been offered, which alternative you would like to select? And why? (3marks) c 1,500 has been borrowed from the bank at rate of 3.5%, find the amount for the period of 2 years, 5months, 25 weeks and 150 days. (2 marks) d. Find the present value of 25,000 at 6% discount rate for 5 years compounding annually, semi-annually, quarterly, and monthly. (2marks)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
