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what is the future value of $8,650 at the end of 7 periods at 8% compounded inte

ID: 2538086 • Letter: W

Question

what is the future value of $8,650 at the end of 7 periods at 8% compounded interest? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.) The future value LINK TO TEXT LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE Click here to What is the present value of $8,650 due 8 periods hence, discounted at 6%? CRound factor values to 5 decimal places, e.g. 1.25124 and final answer to o decimal places, e.g. 458,581.) The present value LINK TO TEXT LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE iew factor tabl What is the future value of 17 periodic payments of $8,650 each made at the end of each period and compounded at 10%? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to O decimal places, e.g. 458,581) The future value LINK TO TEXT LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE Click here e to view factor tables what is the present value of $8,650 to be received at the end of each of 18 periods, discounted at 5% compound interest? (Round factor values to 5 decimal places, eg, 1.25124 and final answer to O decimal places, e.g. 458,581.) The present value $

Explanation / Answer

Answer =1 Amount investment = $                           8,650 Interest rate per year Per Annum 8% Periods FVF 0                           1.00000 1                           1.08000 2                           1.16640 3                           1.25971 4                           1.36049 5                           1.46933 6                           1.58687 7                           1.71382 Future Value = $ 8650 X 1.71382=                             14,825 Answer =2 Period PVF @ 6% 1 0.94340 2 0.89000 3 0.83962 4 0.79209 5 0.74726 6 0.70496 7 0.66506 8 0.62741 Present Value = $ 8,650 X 0.62741 =                               5,427 Answer =3 Amount investment = 8650 Interest rate per year = 10% Period = 17 Years Years Investment Interest @ 10% Per Year Running Bal 1 $8,650.00 $0.00 $8,650 2 $8,650.00 $865.00 $18,165 3 $8,650.00 $1,816.50 $28,632 4 $8,650.00 $2,863.15 $40,145 5 $8,650.00 $4,014.47 $52,809 6 $8,650.00 $5,280.91 $66,740 7 $8,650.00 $6,674.00 $82,064 8 $8,650.00 $8,206.40 $98,920 9 $8,650.00 $9,892.04 $1,17,462 10 $8,650.00 $11,746.25 $1,37,859 11 $8,650.00 $13,785.87 $1,60,295 12 $8,650.00 $16,029.46 $1,84,974 13 $8,650.00 $18,497.41 $2,12,121 14 $8,650.00 $21,212.15 $2,41,984 15 $8,650.00 $24,198.36 $2,74,832 16 $8,650.00 $27,483.20 $3,10,965 17 $8,650.00 $31,096.52 $3,50,712 Answer = Future Value = $3,50,712 Answer = 4 CALCULATION OF PRESENT VALUE Years Investment pvf @ 5% Present Value   1 $8,650.00                                0.95238                         8,238.10 2 $8,650.00                                0.90703                         7,845.80 3 $8,650.00                                0.86384                         7,472.20 4 $8,650.00                                0.82270                         7,116.38 5 $8,650.00                                0.78353                         6,777.50 6 $8,650.00                                0.74622                         6,454.76 7 $8,650.00                                0.71068                         6,147.39 8 $8,650.00                                0.67684                         5,854.66 9 $8,650.00                                0.64461                         5,575.87 10 $8,650.00                                0.61391                         5,310.35 11 $8,650.00                                0.58468                         5,057.48 12 $8,650.00                                0.55684                         4,816.64 13 $8,650.00                                0.53032                         4,587.28 14 $8,650.00                                0.50507                         4,368.84 15 $8,650.00                                0.48102                         4,160.80 16 $8,650.00                                0.45811                         3,962.66 17 $8,650.00                                0.43630                         3,773.97 Total                       97,520.67 Answer = Present Value =                             97,521