Time value of money questions

 

Please ,all calculations must be shown,step by step, done by using Excel providing a well labeled table for input used, and all answers should be thoroughly explained.

 

Problem Assignment: Time Value of Money

 

1.       If you deposit $15,000 today and earn 8% annual interest, how much will you have in 9 years?

 

2.       Tiffany will receive a graduation gift of $10,000 from her parents in 3 years. If the discount rate is 7%, what is this gift worth today?

 

3.       What is the present value of a 20-year ordinary annuity of $30,000 using a 6% discount rate?

 

4.       You deposit $5,000 in an account that pays 8% interest per annum. How long will it take to double your money?

 

5.       The Johnsons have $60,000 to use as a down-payment on a house, and they want to borrow $240,000 from the bank. The current mortgage interest rate is 5%. If they make equal monthly payments for 30 years, how much will the monthly payment be?

 

6.       Tim paid $250 per month into his 401K retirement plan. After 30 years, he had accumulated $500,000. What average annual rate of interest had he earned over the 30 years?

 

7.       Charlotte’s firm had sales of $525,000 in the year 2001. By 2012, sales had increased to $1,200,000. What was the average annual rate of increase?

 

8.       Alan had saved up $252,000. How much more must he save each year over the next 20 years in order to have a total of $1 million? Alan earns 5% interest, compounded annually.

 

Calculate your order
Pages (275 words)
Standard price: $0.00
Client Reviews
4.9
Sitejabber
4.6
Trustpilot
4.8
Our Guarantees
100% Confidentiality
Information about customers is confidential and never disclosed to third parties.
Original Writing
We complete all papers from scratch. You can get a plagiarism report.
Timely Delivery
No missed deadlines – 97% of assignments are completed in time.
Money Back
If you're confident that a writer didn't follow your order details, ask for a refund.

Calculate the price of your order

You will get a personal manager and a discount.
We'll send you the first draft for approval by at
Total price:
$0.00
Power up Your Academic Success with the
Team of Professionals. We’ve Got Your Back.
Power up Your Study Success with Experts We’ve Got Your Back.