Problem 5-7 Time value. You can deposit $10,000 into an account paying 9% annual interest either today or exactly 10 years from today. How much better off will you be 40 years from now if you decide to make the initial deposit today rather than 10 years from today? Solution Initial deposit Annual interest rate Number of years, scenario 1 Number of years, scenario 2 Future value, scenario 1 Future value, scenario 2 Difference S 10,000 9.0% 40 30 5 Requirements Points 7 1 In cell F11, by using cell references to the given data, calculate the future value of the original deposit for scenario 1 (deposit the amount for 40 years). 1 3 2 In cell F12, by using cell references to the given data, calculate the future value of the original deposit for scenario 2 (deposit the amount for 30 years). 1 9 3 In cell F13, by using cell references to the given data, calculate the difference in the future value for scenario 1 and scenario 2. 1 4 Save the workbook. Close the workbook and then exit Excel. Submit the workbook as directed. 0 1 2 B 1