Instructions: Answer each question by putting the appropriate Excel formula in the green box.
1	What will a deposit of $5,000 left in the bank be worth under the following conditions?
		Left for 5 years at 6% interest?
		Left for 5 years at 6% interest compounded monthly?
		Left for 10 years at 6% interest?
		Left for 10 years at 8% interest?
2	Your firm has a $10,000 note receivable due from a customer. How much is the note worth today if:
		The note is due in 2 years and the discount rate is 8%?
		The note is due in 3 years and the discount rate is 15%?
		The note is due in 3 years and the discount rate is 10% compounded monthly?
3	How much will the following people have for retirement?
		Alex deposits $100 a month for 20 years with a 6% return.
		Beth deposits $100 a month for 30 years with a 6% return.
		Chris deposits $100 a month for 30 years with a 9% return.
4	A lottery prize advertised as "$1 million" is actually paid as $25,000 a year for 40 years.
		Find the present value of the $25,000 a year for 40 years using a 5% discount rate.
		Find the present value using an 8% discount rate.
5	Find the monthly payments for a $15,000 car loan with the following terms. Also find the total amount that will be paid over the life of the loan.
		4 year loan at 8% interest (compounded monthly)						Total paid
		6 year loan at 12% interest (compounded monthly)						Total paid
6	Find the amount that must be saved each year to reach the following goals.
		Darby needs $20,000 in 10 years and can receive 4% interest.
		Fran needs $800,000 in 35 years and can receive 8% interest.
7	George has $20,000 in credit card debt at 18% interest compounded monthly. How many months will it take to pay off this amount:
		If he makes a $350 payment each month?
		If he makes a $520 payment each month?
8	What is the interest rate on loans with the following terms?
		On $10,000 borrowed, pay $2,000 a year for 6 years.
		On $2,000 borrowed, pay $100 a month for 25 months.