Problem 5-2 Calculating Future Values. Calculating future values - Excel ? X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 10 points Calibri - 11 - A" A % Skipped Paste BIU - Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles Clipboard Font Styles A A1 X fix Print A B C D E F G H References For each of the following, compute the future value: Complete the following analysis. Do not hard code 5 values in your calculations. All answers should be positive. Present value Years Interest rate Future value 1,975 11 13% 6,734 7 9% 81,346 14 12% 192,050 8 6% 14 15 162 Problem 5-3 Calculating Present Values. Calculating present values - Excel ? - FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 10 points X Calibri - 11 A A" Skipped Paste BIU - BB- - A- Alignment Number Conditional Format as Cell Cells Editing Formatting Table * Styles Clipboard Font G Styles A1 X V Print A B C D E F G H n References For each of the following, compute the present value: Complete the following analysis. Do not hard code 5 values in your calculations. All answers should be positive. Present value Years Interest rate Future value 13 9% $ 15,451 4 7% $ 51,557 29 24% $ 886,073 40 35% $ 550, 164All answers must he entered as a formula. Click OK to begin. 3 Problem 5-4 Calculating Interest Rates. Calculating interest rates - Excel ? - - 5 X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 10 points Calibri 11 A A Paste BIU - - A Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles . Clipboard Font Styles A Print A1 X V n A B C D E F G H References 1 Solve for the unknown interest rate in each of the following: Complete the following analysis. Do not hard code 5 values in your calculations. All answers should be positive. 6 Present value Years Interest rate Future value LD 181 4 297 10 335 18 1,080 11 48,000 19 185,382 12 40,353 25 531,618 13 14 15Problem 5-5 Calculating the Number of Periods. Calculating the number of periods - Excel ? 5 X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 10 points Calibri + 11 - A" A" % Paste BI U - Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles Clipboard G Font G Styles A Print A1 X A B C D E F G H References 2 3 Solve for the unknown number of years in each of the following: A In Complete the following analysis. Do not hard code values in your calculations. Present value Years Interest rate Future value 560 6% $ 1,389 810 9% $ 1,821 18,400 11% $ 289,715 21,500 13% $ 430,258 13 14 15 16FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 5 Calibri - 11 - A" A" % Paste BIU- - - A Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles Clipboard G Font Styles 10 points Al X V A E D Investment X offers to pay you $4,700 per year for eight years, whereas Investment Y Print 3 offers to pay you $6,700 per year for five years. Which of these cash flow streams has the higher present value if the discount rate is 5 percent? If the discount rate is 15 percent? References Payment for X $ 4,700 Number of years for X 8 Payment for Y 6,700 10 Number of years for Y 5 11 12 Discount rate 5% 13 Discount rate 15% 14 15 16 Complete the following analysis. Do not hard code values in your calculations. All answers should be positive. 17 18 Value of X at 5% 19 20 Value of Y at 5% 21 Volun of Y at 150/ Sheet1 ... + READY + 100% Attempt(s)6 Problem 6-7 Calculating Annuity Values. Calculating annuity values - Excel ? - X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 10 points Calibri - 11 - A" A" % Paste BIU - B- - A- Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles Clipboard Font Styles Print A1 X V A B C D E F G H References If you deposit $4,000 at the end of each of the next 20 years into an account paying 9.7 3 percent interest, how much money will you have in the account in 20 years? How much will you have if you make deposits for 40 years? 4 Annual deposit 4,000 Number of years 20 Interest rate on annuity 9.7% Number of years 40 10 11 12 Complete the following analysis. Do not hard code values in your calculations. All answers should be positive. 13 14 Future value for 20 years 15 16 Future value for 40 years 17 18 19 207 Problem 6-9 Calculating Annuity Values. Calculating annuity values - Excel 7 0 - 6 X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 5 points Calibri 11 A" A = % Paste BIUT Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles . Clipboard Font Styles A Print A1 X A B C D E F G H References N P 3 Dinero Bank offers you a five-year loan for $50,000 at an annual interest rate of 7.5 percent. What will your annual loan payment be? 4 5 6 Loan amount 50,000 Number of years 5 8 Interest rate 7.50% 9 10 11 Complete the following analysis. Do not hard code values in your calculations. Your answer should be positive. 12 13 Loan payment 14 15 16 178 Problem 6-16 Calculating Future Values. Calculating future values - Excel ? X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 5 points X Calibri - 11 A A % Paste BIU - A . Alignment Number Conditional Format as Cell Cells Editing Formatting Table * Styles Clipboard G Font G Styles Print A1 A B C D E F G H References 2 What is the future value of $2,400 in 17 years assuming an interest rate of 7.9 percent compounded semiannually? 4 5 6 Deposit 2,400 7 Number of years 17 8 Interest rate 7.9% 9 Times compounded per year 2 10 11 12 Complete the following analysis. Do not hard code values in your calculations. Your answer should be positive. 13 14 Future value 15 16 17 18FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 9 Calibri - 11 - A A % Paste BIU - - 32 . A . Alignment Number Conditional Format as Cell Cells Editing Formatting Table Styles Clipboard Font G Styles 15 A1 points X v fx A B E F H Fowler Credit Bank is offering 6.7 percent compounded daily on its savings accounts. If 3 Print you deposit $7,000 today, how much will you have in the account in 5 years? In 10 years? In 20 years? 4 References Interest rate 6.70% Times compounded per year 365 8 Deposit $ 7,000 9 Number of years 5 10 Number of years 10 11 Number of years 20 12 13 14 Complete the following analysis. Do not hard code values in your calculations. All answers should be positive. 15 16 Value in 5 years 17 18 Value in 10 years 19 20 Value in 20 years 21 . . . Sheet1 ... + READY + 100% Attempt(s)10 Problem 6-21 Calculating Number of Periods. Calculating number of periods - Excel ? X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 5 points Calibri - 11 A A % Paste BIU- A * Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles . Clipboard G Font Styles Print A1 X vfx A C D E F G H References One of your customers is delinquent on his accounts payable balance. You've mutually agreed to a repayment schedule of $500 per month. You will charge 1.5 percent per month interest on the overdue balance. If the current balance is $18,000, how long will it take for the account to be paid off? Monthly payment 500 Discount rate 1.5% Current balance S 18,000 11 Complete the following analysis. Do not hard code values in your calculations. 12 13 Number of months until paid off 14 15 16 1711 Problem 6-35 Calculating Rates of Return. Calculating rates of return - Excel ? G - X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 5 points Calibri 11 A A Paste BIU - Alignment Number Conditional Format as Cell Cells Editing Formatting Table * Styles * Clipboard Font F Styles A Print A1 X V A B C D E F G H J K References 1 2 3 Suppose an investment offers to triple your money in 12 months (don't believe it). What rate of return per quarter are you being offered? 4 Un 6 Present value Future value Aw - Number of quarters 9 10 11 Complete the following analysis. Do not hard code values in your calculations. 12 13 Rate per quarter 14 15 16 1712 Problem 6-18 Calculating Present Values. Calculating present values - Excel ? 6 - X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In 5 points Calibri - 11 A A = Paste BIU Alignment Number Conditional Format as Cell Cells Editing Formatting * Table Styles Clipboard Font G Style Print A1 X A B C D E F G H References 3 An investment will pay you $65,000 in 10 years. If the appropriate discount rate is 7 percent compounded daily, what is the present value? 4 Future value of investment $ 65,000 7 Number of years 10 Discount rate 7% LD 00 Times compounded per year 365 10 11 12 Complete the following analysis. Do not hard code values in your calculations. Your answer should be positive. 13 14 Present value of investment 15 16 17 18