$$ Student Version $$ This case deals with basic time value analysis concepts of a surgery center facing alternative investment$$ opportunities.$$ The student version of the model is a format guide only because the objective is for students$$ to attempt basic calculations themselves. The key to student success in this case lies in correct calculations $$ and interpretation of the data. $$ Students should enter numbers, cell references, or formulae in cells that are shaded: $$ Choice of bank: $$ Compounding Nominal Effective $$ Periods Interest Annual $$ Bank Product Compounding per Year Rate Rate $$ Sun Trust Saving account Weekly $522\mathrm{.}00\%2\mathrm{.}0197\%$ CD Monthly $123\mathrm{.}00\%3\mathrm{.}0416\%$ Term loan Quarterly $44\mathrm{.}00\%4\mathrm{.}0604\%$ BankSouth Saving account Daily $3652\mathrm{.}00\%2\mathrm{.}0201\%$ CD Annually $13\mathrm{.}00\%3\mathrm{.}0000\%$ Term loan Semiannually $24\mathrm{.}00\%4\mathrm{.}0400\%$ Invest donations in different installments over $12$ years $$ First method: $$ Lump sum donation in year $0$ Annual donation in years $1-6$ Annual donation in years $7-12$ EAR for CDs $$ FV in $12$ years of lump sum donation today $$ FV in $6$ years of annual donation in years $1-6$ FV in $12$ years of annual donation in years $1-6$ FV in $12$ years of annual donation in years $7-12$ Total $$