1 More Info 1. Suppose you invest a sum of $5,000 in an interest-bearing account at the rate of 12% per year. 2. How much would you need to invest now to be able to withdraw $13,000 at the end of every year 3. Assume that you want to have $170,000 saved seven years from now. If you can invest your 4. Your aunt Beckie plans to give you $1,500 at the end of every year for the next ten years. If you What will the investment be worth six years from now? for the next 20 years? Assume an 8% interest rate. funds at a 10% interest rate, how much do you currently need to invest? invest each of her yearly gifts at a 14% interest rate, how much will they be worth at the end of the ten-year period? 5. Suppose you want to buy a small cabin in the mountains four years from now. You estimate that the property will cost $51,000 at that time. How much money do you need to invest each year in an interest-bearing account at the rate of 8% per year to accumulate the purchase price? Print Done Reference Future Value of Annuity of $1 20% Periods 10% 16% 1.000 2.160 3.506 5.066 6.877 8.977 10.08910.730 11.414 12.14212.916 12% 1.000 2.120 3.374 4.779 6.353 14% 1.000 18% 1.000 2.180 3.572 5.215 1.000 2.030 3.091 1.000 2.020 3.060 .000 2.050 3.153 4.310 5.526 6.802 8.142 9.549 1.000 2.060 1.000 2.080 3.246 4.506 5.867 7.336 2.010 3.030 4.060 5.101 2.200 3.640 5.368 7.442 2.040 3.310 4.641 3.440 4.921 6.610 4.246 5.416 6.633 4 4.375 5.637 6.975 5.309 6.468 7.662 8.892 5.204 6.308 7.434 8.583 9.7550.15910.583 11.027 11.4912.488 13.579 14.776 16.08517.519 19.086 20.799 7.716 9.487 8.536 9.442 7.214 8.286 9.369 9.214 9.897 10.63711.436 12.300 13.23314.240 15.327 16.499 10 10.46210.95011.464 12.006 12.57813.181 14.487 15.937 17.549 19.337 21.321 23.521 25.959 11.56712.169 12.808 13.486 14.20714.972 16.645 18.53120.655 23.045 25.73328.75532.150 12.683 13.412 14.192 15.02615.917 16.87018.977 21.384 24.133 27.27130.850 34.93139.581 12 13.8091 14.680 15.618 16.627 7.713 18.88221.495 24.523 28.02932.089 36.786 42.21948.497 14.947 15.97417.086 18.29219.59921.015 24.215 27.97532.39337.581 43.672 50.818 59.196 16.09717.293 18.59920.024 21.57923.276 27.152 31.772 37.280 43.842 51.660 60.965 72.035 22.01924.297 26.870 29.778 33.066 36.786 45.76257.275 72.052 91.025115.380 146.628 186.688 28.243 32.030 36.45941.646 47.727 54.865 73.106 98.347 133.334181.871 249.214 342.603 471.981 34.78540.568 47.57556.085 66.439 79.058113.283 164.494241.333356.787 530.312790.948 1,181.882 15 20 25 30 40 48.88660.402 75.4019 95.026120.800154.762259.057 442.593767.0911,342.025 2,360.757 4,163.213 7,343.858 2 0 16 99 39 07 38 96 76 77 084 684 333 025 85 111 39 11 49 4 cre 81 3 6 9 8 70 8 7 4 2 125 999 239 519 36 .3 .3 1-1 1 1 1 2 23345 678 01 72 11 26 1-7 83-7 7 814 488 78 11112 22334 55679 19 40, 320 465 1: 749 4-13469 15827 4 001 12457 92471 48384 7 1 12223 33445 9 17 29 93 %00361 2448 94 38597 27 0-1 2 3 4 6 135 81471 7 075 114 06009 74199 28072 18 35 %-86666 of -89 0 1 2 3 4 1595 31 7891 35 37 6 22223 46 2 04128 9 91 82317 723 296 91369 80123 8 609 36 4 0 633 50-15 7 569 2 3 2 56 8 00000 00001 11111 2234 12345 6789 0-2345 1 Reference Present Value of Annuity of $1 Periods 1% | 2% | 3% | 4% | 5% | 6% | 8% | 10% | 12% | 14% | 16% | 18% | 20% 10.990 0.9800.9710.9620.9520.9430.926 0.9090.8930.877 0.862 0.847 0.833 2 1.9701.942 1.913 1.886 1.859 1.833 1.783 1.7361.690 1.647 1.605 1.566 1.528 32.9412.8842.8292.775 2.7232.6732.577 2.487 2.402 2.3222.246 2.1742.106 4 3.902 3.808 3.717 3.630 3.546 3.465 3.312 3.170 3.037 2.914 2.7982.6902.589 54.8534.7134.5804.4524.329 4.2123.9933.7913.6053.4333.274 3.127 2.991 65.7955.6015.417 5.2425.0764.9174.623 | 4.3554.111 3.8893.6853.4983.326 76.7286.4726.230 6.0025.7865.5825.2064.868 4.5644.288 4.039 3.812 3.605 87.652 7.3257.0206.7336.4636.210 5.7475.3354.9684.6394.3444.0783.837 9 8.5668.162 7.7867.435 7.108 6.802 6.247 5.7595.3284.9464.6074.3034.031 10 9.4718.9838.5308.1117.7227.3606.7106.1455.6505.2164.8334.4944.192 1110.3689.787 9.2538.760 8.306 7.887 7.139 6.4955.938 5.453 5.029 4.6564.327 12 11.25510.575 9.9549.3858.8638.3847.536 6.8146.1945.6605.1974.7934.439 13 12.134 11.348 10.635 9.986 9.3948.8537.9047.103 6.4245.842 5.342 4.910 4.533 14 13.004 12.106 11.296 10.563 9.8999.2958.2447.367 6.628 6.0025.4685.0084.611 15 13.865 12.849 11.938 11.118 10.3809.712 8.559 7.606 6.811 6.142 5.575 5.092 4.675 20 18.046 16.351 14.877 13.590 12.462 11.4709.818 8.514 7.4696.623 5.9295.353 4.870 25 22.023 19.52317.413 15.622 14.09412.783 10.675 9.0777.843 6.8736.0975.467 4.948 30 25.808 22.396 19.600 17.29215.372 13.765 11.258 9.4278.0557.003 6.177 5.5174.979 4032.835 |27.355 23.115 19.793 17.15915.046 11.925 9.7798.2447.1056.2335.5484.997 Print Reference Future Value of Annuity of $1 20% Periods 10% 16% 1.000 2.160 3.506 5.066 6.877 8.977 10.08910.730 11.414 12.14212.916 12% 1.000 2.120 3.374 4.779 6.353 14% 1.000 18% 1.000 2.180 3.572 5.215 1.000 2.030 3.091 1.000 2.020 3.060 .000 2.050 3.153 4.310 5.526 6.802 8.142 9.549 1.000 2.060 1.000 2.080 3.246 4.506 5.867 7.336 2.010 3.030 4.060 5.101 2.200 3.640 5.368 7.442 2.040 3.310 4.641 3.440 4.921 6.610 4.246 5.416 6.633 4 4.375 5.637 6.975 5.309 6.468 7.662 8.892 5.204 6.308 7.434 8.583 9.7550.15910.583 11.027 11.4912.488 13.579 14.776 16.08517.519 19.086 20.799 7.716 9.487 8.536 9.442 7.214 8.286 9.369 9.214 9.897 10.63711.436 12.300 13.23314.240 15.327 16.499 10 10.46210.95011.464 12.006 12.57813.181 14.487 15.937 17.549 19.337 21.321 23.521 25.959 11.56712.169 12.808 13.486 14.20714.972 16.645 18.53120.655 23.045 25.73328.75532.150 12.683 13.412 14.192 15.02615.917 16.87018.977 21.384 24.133 27.27130.850 34.93139.581 12 13.8091 14.680 15.618 16.627 7.713 18.88221.495 24.523 28.02932.089 36.786 42.21948.497 14.947 15.97417.086 18.29219.59921.015 24.215 27.97532.39337.581 43.672 50.818 59.196 16.09717.293 18.59920.024 21.57923.276 27.152 31.772 37.280 43.842 51.660 60.965 72.035 22.01924.297 26.870 29.778 33.066 36.786 45.76257.275 72.052 91.025115.380 146.628 186.688 28.243 32.030 36.45941.646 47.727 54.865 73.106 98.347 133.334181.871 249.214 342.603 471.981 34.78540.568 47.57556.085 66.439 79.058113.283 164.494241.333356.787 530.312790.948 1,181.882 15 20 25 30 40 48.88660.402 75.4019 95.026120.800154.762259.057 442.593767.0911,342.025 2,360.757 4,163.213 7,343.858 Solve various time value of money scenarios. (Click the icon to view the scenarios.) (Click the icon to view the present value factor table.) (Click the icon to view the present value annuity factor table.) (Click the icon to view the future value factor table.) (Click the icon to view the future value annuity factor table.) Scenario 1 . Suppose you invest a sum of $5,000 in an interest-bearing account at the rate of 12% per year. What will the investment be worth six years from now? (Round your answer to the nearest whole dollar.) In six years the investment will be worth $