#3 Congratulations on the birth of your beautiful daughter. Even now you are concerned with the cost of attending college. You estimate you will need $25,000 to help her with college expenses 18 years from now. -Assuming you are earning 10% annually on your stocks, how much should you invest each month? #4 a. Which excel function do you use? b. List the arguments for this function Name Argument #1 Argument #2 Argument #3 Argument #4 Argument #5 C. Is the term in years or months? Value Annual or d. What is your monthly payment? I need to buy a car for my new sales job. While they do not provide a car, they do give me a $350/month car allowance. -If I can get a loan for 6% at the bank for 4 years, how much can I spend on my new car? a. b. Which excel function do you use? List the arguments for this function Name Value Annual or Argument #1 Argument #2 Argument #3 Argument #4 Argument #5 C. Is the term in years or months? d. How much can I spend on the car? #1 #2 Your Name: FIN 301 5.3 Excel Fincial Function Story Problems Complete each of the following problems Note all rates provided are annual rates, unless otherwise noted. For all rates and periods, state if annual or monthly You have just decided to purchase a car. The car will cost $9,000 and you have $1,000 that you can use as a down payment. The credit union will loan you the money at 6% for 4 years. Please note, you are asked to list each argument of the function you have selected: For exmple the IPMT function has the following arguments IMPT FUNCTION Name Argument #1 rate Argument #2 per a. Which excel function do you use? b. List the arguments for this function Name Argument #1 Argument #2 Argument #3 Argument #4 Argument #5 C. Is the term in years or months? Value Annual or d. What is your monthly payment? You really worked hard on the family farm during high school. You were able to save $7,000 before coming to school on a scholarship. You estimate your monthly expenses will be $500. Your savings are currently in a savings account earning 4% compounded monthly. - How many months can you attend college before you use all of your savings? a. Which excel function do you use? b. List the arguments for this function Name d. Argument #1 Argument #2 Argument #3 Argument #4 Argument #5 Value Annual or How many months can you attend college before you use all of your savings? Argument #3 nper Argument #4 pv Argument #5fv Argument #6 type For this exercise you must list the arguments in the correct order and then as required provide the value. Note as you type in the function and add the first (the arguments will appear. when typing in the IPMT function you will see =ipmt(rate, per, nper, pv, [fv], [type]) anything listed in [] is an optional argument