(Present value of an annuity due) Determine the present value of an annuity due of $5,000 per year for 8 years discounted back to the present at an annual rate of 9 percent. What would be the present value of this annuity due if it were discounted at an annual rate of 14 percent? at the annual discount rate is 9 percent, the present value of the annuity due is s b. If the annual discount rate is 14 percent, the present value of the annuity due is s COC (Round to the nearest cent) (Round to the nearest cent)

(Present value of an annuity due) Determine the present value of an annuity due of $5,000 per year for 8 years discounted back to the present at an annual rate of 9 percent. What would be the present value of this annuity due if it were discounted at an annual rate of 14 percent? at the annual discount rate is 9 percent, the present value of the annuity due is s b. If the annual discount rate is 14 percent, the present value of the annuity due is s COC (Round to the nearest cent) (Round to the nearest cent)

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications

Section: Chapter Questions

Problem 7Q

See similar textbooks

Similar questions

You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuity
(Present value of an annuity due) Determine the present value of an annuity due of $5,000 per year for 8 years discounted back to the present at an annual rate of 14 percent. What would be the present value of this annuity due if it were discounted at an annual rate of 19 percent? a. If the annual discount rate is 14 percent, the present value of the annuity due is $ (Round to the nearest cent.)
Determine the present value of an annuity due of $5,000 per year for 15 years discounted back to the present at an annual rate of 12 percent. What would be the present value of this annuity due if it were discounted at an annual rate of 15 percent?
Find the future value of the following annuity due. Then determine how much of this value is from contributions and how much is from interest $300 deposited at the beginning of each quarter for 13 years at 8.96% compounded quarterly The account will have a total of Safter 13 years. (Round to the nearest cent as needed.) How much of this is from contributions? $ (Round to the nearest cent as needed.) How much of this is from interest? $ (Round to the nearest cent as needed)
What is the value of a 30-year annuity that pays $2500 a year? The annuity’s first payment will be received on year 11. Also, assume that the annual interest rate is 4 percent for years 1 through 10 and 5 percent hereafter.
Find the future value of an annuity due with an annual payment of $9,000 for two years at 7.5% annual interest using the simple interest formula. Find the total amount invested. Find the interest. What is the future value of the annuity? (Round to the nearest cent as needed.)
What is the present value of an ordinary annuity of $1,000 per year for 9 years discounted back to the present at 10 percent? What would be the present value if it were an annuity due?
Find the future value of each annuity due. Then determine how much of this value is from contributions and how much is from interest. Payments of $1000 made at the beginning of each semiannual period for 7 years at 8.49 % compounded semiannually The future value of the annuity due is $. (Do not round until the final answer. Then round to the nearest cent as needed.) The amount from contributions is $ The amount from interest is $ (Do not round until the final answer. Then round to the nearest cent as needed.)
What’s the present value of a perpetuity that pays $1,000 per year beginning1 year from now, if the appropriate interest rate is 5%? What would the valuebe if payments on the annuity began immediately? ($20,000, $21,000.Hint: Just add the $1,000 to be received immediately to the value of theannuity.)
What is the present value of the following annuity:$ 2,500 a year for 10 years discounted back to the present at 7 percent?
What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000 with the final payment? Use a nominal rate of 7.23%.
What is the future value (in $) of an annuity of $4,634 for 15 years if the discount rate is 5.79 percent? Answer to two decimals.