Question: Please show and explain in excel 1. Stephen plans to purchase a car 5 years from now. The car will cost $36,930 at that time.
Please show and explain in excel
1. Stephen plans to purchase a car 5 years from now. The car will cost $36,930 at that time. Assume that Stephen can earn 6.67 percent (compounded monthly) on his money. How much should he set aside today for the purchase? Round the answer to two decimal places.
2. You have accumulated some money for your retirement. You are going to withdraw $99,576 every year at the end of the year for the next 20 years. How much money have you accumulated for your retirement? Your account pays you 14.59 percent per year, compounded annually. To answer this question, you have to find the present value of these cash flows. Round the answer to two decimal places.
3. You have been offered the opportunity to invest in a project that will pay $3,496 per year at the end of years one through three and $13,092 per year at the end of years four and five. If the appropriate discount rate is 6.5 percent per year, what is the present value of this cash flow pattern? Round the answer to two decimal places.
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