Question: please show in excel using the function below each question 4 Suppose an individual were to sign a lease on an apartment requiring twelve monthly
please show in excel using the function below each question
4 Suppose an individual were to sign a lease on an apartment requiring twelve monthly payments of $1,000 each. Payments are made at the beginning of each mon what is the present value of the lease? Assume a 12% discount rate (Note: this should be an annuity due issue) (5 points). PV 5 What is the effective annual rate (EAR) if the stated rate is 10 percent and compounding occurs semiannually? Quarterly? (5 points) EFFECT 6 An investment that you are considering promises to pay $1,000 semiannually for the next two years, beginning six months from now. You have determined that the appropriate opportunity cost (discount) rate is 8 percent, compounded quarterly. What is the value of this investment (10 points)? EFFECT PV
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