A firm will need to buy some new pack mules in 5 years. These mules will cost a total of $5000. What lump sum should the firm invest today at 8%, compounded annually, in order to be able to buy the mules? How much interest will be eamed? Click here to view page 1 of the interest table for rate 7% Click here to view page 2 of the interest table for rate 7% Click here to view page 1 of the interest table for rate 8%. Click here to view page 2 of the interest table for rate 8% The firm should invest $ |in order to be able to buy the mules. (Round to the nearest cent as needed.) The amount of interest earned is $ (Round to the nearest cent as needed.) Definition - X Rate A B C D E 7% Compound Present Value Amount of Present Value Sinking Fund Amortization Interest Annuity of Annuity n ( 1 + 1) n (1 + 1)" n i .07000000 0.93457944 1.00000000 0.93457944 1.00000000 1.07000000 1.14490000 0.87343873 2.07000000 1.80801817 0.48309179 0.55309179 1.22504300 0.8162978 3.21490000 2.62431604 0.31105167 0.38105167 1.31079601 0.76289521 4.43994300 3.38721126 0.22522812 0.29522812 1.40255173 0.71298618 5.75073901 4. 10019744 0.17389069 0.24389069 1.50073035 0.66634222 7.15329074 4.76653966 0. 13979580 0.20979580 1.60578148 0.62274974 8.65402109 5.38928940 0.11555322 0. 18555322 1.71818618 0.58200910 10.25980257 5.97129851 0.09746776 0.16746776 1.83845921 0.54393374 11.97798875 6.51523225 0.08348647 0.15348647 1.96715136 0.50834929 13.81644796 7.02358154 0.07237750 0.14237750 2.10485195 0.47509280 15.78359932 7.49867434 0.06335690 0.13335690 12 2.25219159 0.44401196 17.88845127 7.94268630 0.05590199 0. 12590199 13 2.40984500 0.41496445 20.14064286 8.35765074 0.04965085 0.11965085 14 2.57853415 0.38781724 22.55048786 8.74546799 0.04434494 0.11434494 15 2.75903154 0.36244602 25.12902201 9.10791401 0.03979462 0. 10979462 16 2.95216375 0.33873460 27.88805355 9.44664860 0.03585765 0. 10585765 17 3.15881521 0.31657439 30.84021730 9.76322299 0.03242519 0.10242519 18 3.37993228 0.29586392 33.99903251 10.05908691 0.02941260 0.09941260 19 3.61652754 0.27650833 37.37896479 10.33559524 0.02675301 0.09675301 20 3.86968446 0.25841900 40.99549232 10.59401425 0.02439293 0.09439293 21 4. 14056237 0.24151309 44.86517678 10.83552733 0.02228900 0,09228900 22 4.43040174 0.22571317 49.00573916 11.06124050 0.02040577 0.09040577 23 4.74052986 0.21094688 53.43614090 11.27218738 0.01871393 0.08871393 5.07236695 0.19714662 58.17667076 11.46933400 0.01718902 0.08718902 25 5.42743264 0. 18424918 63.24903772 11.65358318 0.01581052 0.01581052 Print Done
