2 Calculating Present Values For each of the following, compute the present valu

Question

2 Calculating Present Values For each of the following, compute the present value: Present Value Years Interest Rate Future Value 13 17 26 $ 13,827 43,852 725,380 590,710 15 18 3 Calculating Interest Rates Solve for the unknown interest rate in each of the following: Present Value Years Interest Rate Future Value 345 927 152.184 538,600 $ 242 410 51,700 18,750 16 27 Calculating the Number of Periods of the following 4 Solve for the unknown number of years in each Present Value Years Interest Rate Future Value $ 625 810 6,500 21,500 7% 12 17 $1,284 4,341 402,662 147,350

Explanation / Answer

(2) Future Value = $ 13827, Interest Rate = 7 % and Years = 8

Present Value = 13827 / (1.07)^(8) = $ 8047.44

Future Value = $ 43852, Interest Rate = 15 % and Years = 13

Present Value = 43852 / (1.15)^(13) = $ 7127.18

Future Value = $ 725380, Interest Rate = 11 % and Years = 17

Present Value = 725380 / (1.11)^(17) = $ 123048.1

Future Value = $ 90710, Interest Rate = 18 % and Years = 26

Present Value = 90710 / (1.18)^(26) = $ 1226.66

NOTE: Please raise separate qeuries for solutions to the other unrelated questions as one query can be used to ask only one question(could have multiple parts).

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