Question: please show the excel reference Problem #1: Suppose that you are planning to buy a boat in 20 years [to be entered into cell B2]

please show the excel referenceplease show the excel reference Problem #1: Suppose that you are planning

Problem #1: Suppose that you are planning to buy a boat in 20 years [to be entered into cell B2] for an amount of $100,000 [cell B1) at that time, and you earn an average annually compounding rate of return of 3% per year [to be entered into cell B3]. B $100,000 A 1 Future value 2 Years 3 Annual rate 4 5 Present value 6 (a) How much money would you need to invest today as a lump sum to achieve your goal (cell B5)? There are no additional deposits or payments. Use the PV function. (b) What is the correct formula (using 16 characters or less) that should be placed in cell B5? Note: There are to be NO numbers in the function call (apart from a 0 if appropriate), only cell references, or negative cell references where appropriate. Additional Note: For some reason, in the PV function, the f.v. represents an amount that is being paid out, not received. So the present value of something being paid out is a negative number. The correct answer to this question is the use of the PV function that returns the correct positive value. Problem #2: Suppose that you are planning to buy a boat in the future for $100,000 (cell B2) and you deposit a lump sum of $54,000 CAD (cell B1] that earns an average annually compounding rate of return of 15% per year [cell B3]. B C A 1 Present value 2 Future value 3 Annual rate 4 5 Number of years 6 (a) How long (in years) would it take [cell B5] until you accumulate the lump sum needed? Use the NPER function. (b) What is the correct formula (using 18 characters or less) that should be placed in cell B5? Note: There are to be NO numbers in the function call (apart from a 0 if appropriate), only cell references, or negative cell references where appropriate

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