#8

Current Attempt in Progress Carla Vista Co. earns 6% on an investment that will return $400,000 8 years from now. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) What is the amount Carla Vista should invest now to earn this rate of return? (Round answer to 2 decimal places, eg.25.25.) Carla Vista Co. should invest $ TABLE 1 Future Value of 1 (12) Periods 15% 10% 12% 11% 4% 5% 7% 8% 9% 6% 1.00000 1.00000 1.00000 1.00000 0 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.11000 1.10000 1.12000 1.15000 1.09000 1 1.04000 1.06000 1.08000 1.05000 1.07000 1.32250 2 1.12360 1.14490 1.08160 1.21000 1.23210 1.25440 1.16640 1.18810 1.10250 1.15763 1.40493 1.52088 3 1.12486 1.36763 1.19102 1.22504 1.33100 1.25971 1.29503 4 1.57352 1.16986 1.21551 1.46410 1.31080 1.36049 1.26248 1.41158 1.51807 1.68506 1.74901 2.01136 5 1.76234 1.21665 1.27628 1.31823 1.40255 1.53862 1.46933 1.61051 1 6 1.50073 1.77156 1.41852 1.26532 1.87041 1.97382 1.34010 1.58687 1.67710 2.31306 2.66002 207616 7 1.31.593 2.21068 1.40710 1.713R2 1.82804 1.94872 1.60578 1.50363 1.59385 8 1.36857 2.47596 3.05902 1.47746 1.71819 1,85093 1.99256 2.14359 2.30454 2:55803 9 1.83846 1.42331 1.55133 2.77308 1.99900 2.35795 3.51788 1.68948 2.17189 1.48024 1.79085 10 1.96715 2.15892 2.59374 1.62889 2.36736 2.83942 3.10585 404556 11 1.53945 1.89830 1.71034 2.10485 2.33164 2.58043 2.85312 4.65239 3.15176 3.47855 12 1.79586 1.60103 2.01220 2.25219 2.51817 2.81267 3.13843 3.49845 5.35025 3.89598 1.66507 13 1.88565 2.13293 2.40985 2.71962 3.45222 3.88328 4.36349 6.15279 3.06581 3.34173 14 1.73168 1.97993 2.26090 2.57853 2.93719 3.79750 4.31044 4.88711 7.07571 15 1.80094 2.07893 239656 2.75903 3.17217 3.64248 4.17725 4.78459 5.47357 8.13706 16 1.87298 2.18287 2.54035 2.95216 3.42594 3.97031 4.59497 5.31089 6,13039 9.35762 17 1.94790 2.29202 2.69277 3.15882 3.70002 4.32763 5.05447 6.86604 10.76126 5.89509 6.54355 18 2.02582 2.40662 2.85434 3.37993 3.99602 4.71712 5.55992 7.68997 12.37545 19 2.10685 3.02560 3.61653 4.31520 5.14166 6.11591 7.26334 8.61276 14.23177 2.52695 2,65330 20 219112 3.20714 3.86968 4.66096 5.60441 6.72750 8.06231 9.64629 16.36654 TABLE 2 Future Value of an Annuity of 1 () Payments 5% 6% 15% 11% 12% 9% 7% 8% 10% 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.0000 1.00000 1 1.00000 1.00000 2.11000 2.12000 2.15000 2.04000 2.10000 2 2.05000 2.06000 2.0700 2,09000 2.08000 3.37440 3.47250 3.24640 3.34210 3.31000 3.2149 3 3.18360 3.27810 3.15250 3.12160 4.77933 4.99338 4.64100 4.70973 4.57313 4.24646 4.37462 4.50611 4 4.31013 4.4399 6.22780 6.35285 6.74238 6.10510 5 5.98471 5.41632 5.52563 5.63709 5.7507 5.86660 8.11519 8.75374 7.91286 6 6.63298 7.71561 6.80191 6.97532 7.52334 7.1533 7.33592 9.78327 10.08901 9.20044 7.89829 8.14201 8.92280 11.06680 7 8.39384 9.48717 8.6540 9.21423 9.54911 9.89747 13.72682 8 10.2598 11.02847 10.63663 11.43589 11.85943 12.29969 14.16397 9 13.57948 16.78584 10.58280 11.49132 12.48756 11.02656 11.9780 14.77566 13.02104 10 12.00611 12.57789 13.8164 14.48656 16.72201 17.54874 15.19293 15.93743 20.30372 13.18079 14.20679 15.7836 18.53117 11 13.48635 16.64549 19.56143 14.97164 17.56029 24.34928 20.65458 15.02581 15.91713 12 16.86994 17.8885 18.97713 20.14072 21.38428 22.71319 24.13313 29.00167 16.62684 13 17,71298 18.88214 20.1406 21.49530 22.95339 24.52271 34.35192 26.21164 28.02911 18.29191 19.59863 21.01507 14 22 5505 24.21492 26.01919 27.97498 30.09492 32.39260 40.50471 15 20.02359 21.57856 23.27597 25.1290 27.15211 29.36092 31.77248 34.40336 37.27972 47.58041 16 21.82453 23.65749 25.67253 27.8881 30.32428 33.00340 35.94973 39.18995 42.75328 55.71747 17 23.69751 25.84037 28 21288 30,8402 33.75023 36.97351 40.54470 44.50084 48.88367 65.07509 18 25.64541 28.13238 30.90565 33.9990 37.45024 41.30134 45.59917 50.39593 75.83636 55.74972 63.43968 19 27.67123 30.53900 33.75999 37.3790 41.44626 46.01846 51.15909 56.93949 88.21181 20 29.77808 33.06595 36.78539 40-9955 45.76196 5116012 $7.27500 64.20283 22.05244 10244358 TABLE 3 Present Value of 1 () Periods 4% 11% 12% 15% 5% 9% 7% 6% 8% 10% .89286 90090 86957 1 90909 96154 95238 94340 .93458 92593 91743 81162 .79719 .75614 2 82645 92456 .90703 .89000 87344 85734 84168 -75132 71178 .65752 3 88900 86384 .83962 81630 .73119 77218 .79383 .63552 4 85480 .82270 57175 79209 76290 .70843 .65873 68301 73503 5 82193 78353 .74726 171299 .68058 .62092 56743 49718 .59345 64993 43233 74622 6 66634 .56447 79031 -70496 50663 59627 53464 163017 75992 7 45235 37594 .71068 .66506 62275 58349 54703 51316 148166 8 32690 73069 67684 .62741 58201 54027 40388 43393 50187 46651 9 59190 70259 50025 42410 39092 36061 .64461 54393 46043 28426 10 67556 61391 55839 24719 50835 42241 46319 38554 32197 135218 11 58468 64958 52679 21494 47509 42888 38753 31728 35049 28748 12 .62460 125668 49697 55684 39712 28584 44.401 35554 31863 18691 13 .60057 53032 46884 41496 28966 16253 136770 32618 25751 22917 14 57748 50507 38782 44230 34046 20462 39925 114133 26333 23199 15 55526 .48102 41727 36245 31524 127454 23939 112289 20900 -18270 16 53391 45811 39365 133873 129189 25187 21763 18829 16312 10687 17 51337 43630 37136 31657 27027 23107 119785 16963 14564 109293 18 49363 41552 35044 29586 25025 21199 17986 115282 08081 13004 19 474644 39573 13051 27615 23171 19449 16351 13768 11611 07027 20 45639 137689 31180 25842 21455 17843 14861 12403 10367 06110 TABLE 4 Present Value of an Annuity of 1 (11) Payments 4% 5% 6% 7% 8% 9% 10% 15% 11% 12% 96154 1 95238 89286 194340 .92593 93458 91743 .90909 .86957 .90090 2 1.88609 1.85941 1.83339 1.80802 1.78326 1.75911 1.73554 1.71252 1.69005 1.62571 3 2.77509 2.72325 2.62432 2.67301 2.57710 2.53130 2.48685 2.40183 2.44371 2.28323 3.54595 4 3.62990 3.46511 3.38721 3.31213 3.23972 3.10245 3.16986 2.85498 3.03735 5 4.45182 4.32948 4.21236 3.35216 4.10020 3.99271 3.88965 3.60478 3.79079 3.69590 6 5.24214 5.07569 4.91732 4.76654 4.62288 4.48592 435526 4.23054 3.78448 4.11141 7 6.00205 5.78637 5.58238 5.38929 5.20637 5.03295 4.16042 4.86842 4.71220 4.56376 8 6.73274 6.46321 6.20979 5.97130 5.74664 5.53482 4.48732 5.33493 5.14612 4.96764 7.10782 7.43533 6.51523 9 6.24689 5.99$25 5.32825 6.80169 5.75902 5.53705 4.77158 7.72173 10 8.11090 7,36009 7.02358 6.71008 5.01877 6.41766 5.88923 5.65022 6.14492 8.76048 788687 11 8.30641 7.49867 6.20652 7.13N96 6.49506 6.80519 523371 5.93770 9,38507 8.86325 12 8.38384 7.94269 753608 7.16073 6.81369 6.49236 6.1942 5.42062 9.39357 13 8.85268 9.98565 8.35765 7.90378 716.00 6.744987 642355 7010336 5.58315 9.89864 9.29498 8.74547 8.24424 7.78613 736669 10.56312 6.98182 14 6.62817 5.72448 9.71225 15 R559 9.10791 10.37966 8.00009 7.19087 11.11839 6.81086 5.84737 7.6000N 10.83777 8.8513 10.10590 9,4466 31256 782371 16 737016 5.95424 11.65230 6.97399 11 27407 1047726 9.7622 8,5363 0.12164 12.16567 NO215$ 17 54870 6,04216 711963 8.2011 11.69.59 10.82760 87356 10.05909 18 9.37189 1265930 7.70162 7.34967 6,12797 12 ONS 1113 10.13500 05012 19 9.60300 26492 783929 13.10.194 938578 6. 19821 13.500 12.46321 1140992 10.50-101 20 9. IRIS 18$ RS11 70133 7.46944 6.2003