Q:1 Present value of annuity problem. You will receive $2,000 at the end of the
ID: 2660353 • Letter: Q
Question
Q:1 Present value of annuity problem.
You will receive $2,000 at the end of the next 12 years, assuming a 6% discount rate, what is the present value of the cash flows?
Q:2 Present value of single sum problem.
You are going to be given $79,000 in 15 years. Assuming an inflation rate of 2.4%, what is the present value of this amount?
Q:3 Future value of single sum problem.
You put $1,000 in an investment account today which will earn 7% over the next 20 years, what is the future value?
Q:4 Future value of annuity problem.
You deposit $8,000 into a retirement account at the end of the next 12 years earning 10% interest, what is the future value of your retirement after 12 years?
Q:5 Construct a pro forma income statement for the first year and second year for the following assumptions:
Explanation / Answer
answer 1
2000/(1+0.06)^12 = 993.94
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.