Find the following values. Compounding/discounting occurs annually. Do not round intermediate calculations. Round your answers to...

  

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Find the following values. Compounding/discounting occurs annually. Do not round intermediate calculations. Round your answers to the nearest cent. a. An initial $400 compounded for 10 years at 3%. $ b. An initial $400 compounded for 10 years at 6%. $ c. The present value of $400 due in 10 years at 3%. $ d. The present value of $2,195 due in 10 years at 6% and 3%. Present value at 6%: $ Present value at 3%: $ e. Define present value. I. The present value is the value today of a sum of money to be received in the future and in general is less than the future value. II. The present value is the value today of a sum of money to be received in the future and in general is greater than the future value. II. The present value is the value today of a sum of money to be received in the future and in general is equal to the future value. IV. The present value is the value in the future of a sum of money to be received today and in general is less than the future value. V. The present value is the value in the future of a sum of money to be received today and in general is greater than the future value. -Select- ✓ How are present values affected by interest rates? Find the following values. Compounding/discounting occurs annually. Do not round intermediate calculations. Round your answers to the nearest cent. a. An initial $400 compounded for 10 years at 3%. $ b. An initial $400 compounded for 10 years at 6%. $ c. The present value of $400 due in 10 years at 3%. $ d. The present value of $2,195 due in 10 years at 6% and 3%. Present value at 6%: $ Present value at 3%: $ e. Define present value. I. The present value is the value today of a sum of money to be received in the future and in general is less than the future value. II. The present value is the value today of a sum of money to be received in the future and in general is greater than the future value. II. The present value is the value today of a sum of money to be received in the future and in general is equal to the future value. IV. The present value is the value in the future of a sum of money to be received today and in general is less than the future value. V. The present value is the value in the future of a sum of money to be received today and in general is greater than the future value. -Select- ✓ How are present values affected by interest rates?

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a To find the future value of 400 compounded for 10 years at 3 annually we can use the formula for c... View the full answer