Finance Solution - 19983

Solution Posted by
studentlance

studentlance

Rating : (5)F
Solution Detail
Price: $4.00
  • From: Business,
  • Posted on: Sat 27 Jul, 2013
  • Request id: None
  • Purchased: 0 time(s)
  • Average Rating: No rating
Request Description

Finance

 

1. Find the future value one year from now of a $7,000 investment at a 3 percent annual compound interest rate. Also calculate the future value if the investment is made for two years.

 

2. Find the future value of $10,000 invested now after five years if the annual interest rate is 8 percent. 

A.  What would be the future value if the interest rate is a simple interest rate?

B.  What would be the future value if the interest rate is a compound interest rate?

 

3. Find the present value of $7,000 to be received one year from now assuming a 3 percent annual discount interest rate. Also calculate the present value if the $7,000 is received after two years.

 

4. Determine the present value now of an investment of $3,000 made one year from now and an additional $3,000 made two years from now if the annual discount rate is 4 percent.

 

 

Solution Description

value one year from now of a $7,000 investment at a 3 percent annual compound interest rate.  Also calculate the futur

Attachments
Ans Finance.docx
Ans Finance.doc...