Question
A single cash flow of $932.47 is available now (period t =0). For this cash flow, the appropriate discount rate per periods is 3.9%. What
A single cash flow of $932.47 is available now (period t =0). For this cash flow, the appropriate discount rate per periods is 3.9%. What is the period 4 future value of this single cash flow?
Enter the Eqn 8.1a in each green cell that uses PV = $900, n = 7, and the interest rate in Row 22. There will be seven formulas with different interes rates.
Use the FV function in each green cell where PV = $900, n = 7, and the interest rate in Row 22. There will be seven functions with different interes rates. Note if you enter PV as a positive value, the results will be negative.
SINGLE CASH FLOW | Future Value | | ||||||
Inputs | ||||||||
Cash flow at t = 0 | $900 | |||||||
Number of periods | 7 | |||||||
Future Value using a Time Line | ||||||||
Period | 0 | 1 | 2 | 3 | 4 | 5 | 6 | |
Cash Flows | $900.00 | |||||||
0% | 2% | 4% | 6% | 8% | 10% | 12% | ||
Future Value using the Formula | ||||||||
Future Value (using Eqn 8.1a) | ||||||||
Future Value using the FV Function | ||||||||
Future Value |
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