Q: How much would $4,625 due in 50 years be worth today if the discount rate were 7.5%?
A: It can be calculated using present value formula. PV = FV / (1 + r / n)nt Where, PV = Present…
Q: $100 at the end of three years is worth how much today, assuming a discount rate of (i) 100 percent?…
A: Provided a certain rate of interest, present value is actual value of a potential amount of money or…
Q: Suppose you have $1500 in your savings account at the end of a certain period of time. You invested…
A: Interest Earned = $1500 -$1100 Interest Earned =$400
Q: You just purchased an annuity that will pay you $24,000 a year for 25 years, starting today. What…
A: Annual payment (P) = $ 24000 Number of annual payments (n) = 25 Interest rate (r) = 8.5%
Q: What is the difference in present value between a perpetuity that pays $500 per year and an ordinary…
A: Annual payment (A) = $500 n = 23 years for ordinary annuity r = 7%
Q: What is the present value of $12.200 to be received 4 years from today if the discount rate is 5…
A: Given Information: Amount to be received in future=$12.200 Number of years=4 Discount Rate=5%
Q: What's the rate of return you would earn if you paid $1,480 for a perpetuity that pays $75 per year?
A: Rate of return is the rate you earn on perpetuity i.e. amount initially paid.
Q: What is the present value of $2,100 to be received 14 years from now assuming a discount rate of…
A: Given information: Future value of amount is $2,100 Number of years is 14 Discount rate is 3.7% for…
Q: What is the present value of $9,500 to be received in 8 years if 7% is the proper discount rate?
A: Computation of present value: Hence, the present value is $5,529.09.
Q: If money is worth 9.73% annually, what annual payment is required to raise ₱ 15,434 after 4 years?
A: It can be calculated using PMT function in excel. PMT(rate, nper, pv, [fv], [type]) Rate The…
Q: How much would $30,000 due in 20 years be worth today if the discount rate is 11.0%?
A: present value=future value1+rn where, r=rate of interest n=number of years
Q: How much do you need to invest today, at 0.5% interest per year, in order to have $75,000 in 15…
A: Future value (FV) = $ 75000 Interest rate (r) = 0.5% Period (n) = 15 Years
Q: A savings account’s value today is $150 and it earns interest at 1% per month. How much will be in…
A: Future Value = Present Value * (F/P, 1%,12) Where, Future Value =F Present Value = 150
Q: What
A:
Q: What is the present value of $2,000 received today, $2,500 received at the end of each of the next…
A: Present value of cashflow for any year = Cashflow for that year/(1+ discount rate)^time Cashflow for…
Q: What is the present value of RM9,070 to be received 5 years from today if the discount rate is 16…
A: Using the PV function in excel
Q: a. What is the present value of 15 annual payments of $100, with the first payment one year from…
A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…
Q: What is the present value of RM4,500 to be received 10 years from today if the discount rate is 6…
A: Using PV function in excel
Q: What is the present value of $500 to be received 10.5 years from today when the annual discount rate…
A: Note : 1. As per the guidelines only first question will be answered. Kindly post the remaining…
Q: What is the present value of $100,000 to be received after 40 years with an 18 percent discount…
A: Present value: It is the present value of future cash flows with a specified discount rate applied…
Q: 1. If you receive $176 each month for 12 months and the discount rate is 0.04, what is the future…
A: In this Question we require to calculate the Future Value of Cash flows received every month for 12…
Q: What is the present value of $11,800 received 20 years from now using a 13% interest or discount…
A: In the given question we needs to calculate the present value from following details: Future value =…
Q: How much would $1,000,000 due in 100 years be worth today if the discount ratewas 5%? If the…
A: The current worth of the cash flows or an asset after discounting is termed as the present value.
Q: you would earn if you paid $1
A: A perpetuity is a series of uniform cash flows over an indefinite period of time.
Q: The discount rate is 8.25%. What is the present value of five annual $41 cashflows? The first…
A: Present Value = Future Value /((1+i)n) n is the Number of Years
Q: A perpetuity with a present value of $80,000 today yields cash flows of $2,500 per quarter. The…
A: For an unlimited amount of time, the stream of cash flows that continues is known as perpetuity. A…
Q: You deposited $10,000 today into a saving account for 5 years with a market rate of 8% per year. The…
A: Deposit amount = $ 10000 Period = 5 Years Interest rate = 8% Inflation rate = 2%
Q: present value of $280 paid one year from now is $250, what is the one-year discount factor?
A: Present Value = $280 = P.V To be paid after one year =$ 250 = P Let, Discount rate = r Then, P =…
Q: An annual growing perpetuity has a present value of $363,636.36 What is the growth rate (g) of this…
A: The time value of money is considered for determining the cash flows compounded and discounted…
Q: What is the present value of $149,000 discounted back 10 years if the appropriate internet rate is…
A: As given in question , we need to calculate $149,000 Present value discounted back 10 yrs @ 6%…
Q: How much are the 2 million dollars received annually over the course of 25 years worth in terms of…
A: Time value of money (TVM) means that the amount of money received in the present period will have…
Q: How much less is a perpetuity of $2,000 worth than an annuity due of the same amount for 30 payments…
A: An annuity is a series of monetary payments. A perpetuity is a sort of annuity that lasts…
Q: What is the present value of $100,000 to be received at the end of 25 years given a 5% discount…
A: Present value if the value of a future amount at current time. Present value formula: Present Value…
Q: If the present value of $444 to be paid at the end of one year is $400, what is the one-year…
A: Discounting is a technique to compute the present value (PV) of future cashflow by considering…
Q: What is the value today of $1,600 per year, at a discount rate of 10 percent, if the first payment…
A: The present value of the annuity is the current worth of a cash flow series at a certain rate of…
Q: present value
A: SOLUTION:- Present Value= Future value/(1+i)n WHERE: Future Value =$150,000 i= 11%(discount rate)…
Q: If $414 invested today yields $450 in one year's time, what is the discount factor?
A: given, present value = $414 future value=$450 n=1 let the discounting rate =r
Q: 2. The following are exercises in present values: a. $100 at the end of three years is worth how…
A: Since multiple questions are asked we will solve 1st question for you as per prescribed policy.…
Q: What is the rate of return you would earn if you paid $3,680 for a perpetuity that pays $85 per…
A: In this question we require to compute the rate of return on a perpetuity.
Q: What is the present value of $10,000 that is to be received in 9 years, if the discount rate is 7%…
A: Present Value refers to the discounted value of a single cash flow or multiple cash flows today…
Q: Suppose that one year from now you receive $620. What is it worth today if the discount rate is 2%…
A: Details given are : Future value after one year = $620 Discount rate = 2% = 0.02 We need to…
Q: What is the present value of 500 received at the beginning of each year for 15 years? (Assume the…
A: Given: Present value = 500 Years = 15 Discount rate = 10%
Q: 4. If you receive $116 each month for 28 years and the discount rate is 0.08, what is the present…
A: This Question require to calculate the Present Value of Cash flows received every month for 28…
Q: What sum of money now is equivalent to $9500 three years later, if interest is 3% per 6-month…
A: PRESENT VALUE FORMULA: present value =future value1+rmm×n where, r=rate of interest m=frequency of…
Q: What is the present value of a $200 payment in one year when the discount rate is 7 percent?
A: We require to compute the present value in this question from following details: Future value = $200…
Q: 2. If you receive $99 each quarter for 17 years and the discount rate is 0.05, what is the future…
A: In this Question we require to calculate the Future Value of Cash flows that we will receive every…
If $476 invested today yields $500 in one year's time, what is the discount rate?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- If the present value of $500 expected to be received three years from today is $200, what is the discount rate?If $414 invested today yields $450 in one year's time, what is the discount factor?1. If you receive $29 each quarter for 19 years and the discount rate is 0.05, what is the present value? (show the process and can use financial calculator)
- 4. If you receive $116 each month for 28 years and the discount rate is 0.08, what is the present value? (show the process and can use financial calculator)1. If you receive $176 each month for 12 months and the discount rate is 0.04, what is the future value? (show the process and can use financial calculator)What is the present value of payments that are: year 0: 5000, year1: 10000, year2: 12500, year3: 15000? Discount factor 11%.
- How much would $4,625 due in 50 years be worth today if the discount rate were 7.5%?2. If you receive $99 each quarter for 17 years and the discount rate is 0.05, what is the future value? (show the process and can use financial calculator)a. What is the present value of 15 annual payments of $100, with the first payment one year from now, if the discount rate is 0.05? b. What is the present value of 15 annual payments of $100, with the first payment right now, if the discount rate is 0.05? c. What is the present value of 15 annual payments of $100, with the first payment five years from now, if the discount rate is 0.05? d. At what discount rate would the present value of 15 annual payments of $100, with the first payment right now, be 0? e. How many annual payments of $100, with the first payment right now, would it take to be worth more than $1,000, if the discount rate is 0.05? f. What is the value of 15 annual payments which begin at $100 one year from now and increase at 2% per year thereafter, if the discount rate is 0.05?
- Suppose the interest rate is 3.6% b. Having $650 in one year is equivalent to having what amount today? c. Which would you prefer, $650 today or $650 in one year? Does your answer depend on when you need the money? Why or why not? **round to the nearest cent**3. If you receive $98 each month for 12 months and the discount rate is 0.07, what is the present value? (show the process and can use financial calculator)Suppose the interest rate is3.6%. a. Having $650 today is equivalent to having what amount in one year? b. Having $650 in one year is equivalent to having what amount today? c. Which would you prefer, $650 today or $650 in one year? Does your answer depend on when you need the money? Why or why not? a. Having $650 today is equivalent to having what amount in one year? It is equivalent to $____. (Round to the nearest cent.)