3. Determine the amount of money a person must deposit now in order to be able to make ten $3000 per year withdrawals starting 11 years from now if the interest rate is 14% per year. Basic Time Value Models 1) F = P(1+i) 2) P = F(1+1) (1+1 3) F= 4 = f0+18=1 4) AF |(1+i)" (1+1)" - 1 5) P= 4 i(1+i)" 6) 4 =P ((1+)" - 1 1 x - (-) ---- n G(1+i)" - 1 8) pa i(1 + i)(1+i)" n 9) A"=G not (1+1)-1 - 1 --- 10) PED 1+i E- E 11) P= Dn 1 + E i-E