AaBbCcDdee List Paragraph 31 Time Value of Money, Opportunity Cost, and Income Taxes Worksheet Scenario 1: Time Value of Money Cash Management Products Use this Bankrate's Simple Savings calculator to complete Scenario 1: http://www.bankrate.com/calculators/savings/simple-savings-calculator aspx. You will enter the Initial Amount of Savings (Present Value), Annual Interest Rate (Rate of Return), and Number of Periods/Years into the calculator. The calculator will compute the Future Values. 1. rest rates on your savings. Suppose that you have In this scenario you will look at the impact $2,000 of savings. You don't anticipate needing to dip into these funds in the next five years. Based on the information provided in the table, calculate the future value (FV) of $2,000 at the end of years 1 and 5 if it were to be completely invested in each of the different cash management products Enter your answers in the indicated cells of the table below. The Restrictions/Fees on Product Usage column relates to question 2 of Scenario 1 Product Annual | Restrictions/Fees on | FV at end of Year 1 | FV at end of Year 5 Interest | Product Usage Rate Checking | 0.00% Account Answer Answer . No minimum . No limit on withdrawals Initial Amount: Annual Interest Rate (compounded quarterly) Number of Years Initial Amount Annual Interest Rate (compounded quarterly) Number of Years Answer Savings 1.50% Account . No minimum .Limited to 3 withdrawals per Calculator Inputs Initial Amount Annual Interest Rate Initial Amount Annual Interest Rate (compounded quarterly) (compounded quarterly) Number of Years Number of Years Answer $500 minimum Answer of Deposit (CD) balance . Early withdrawal penalty: 180 days Calculator Inputs of interest plus $25 Initial Amount: Initial Amount Annual Interest Rate (compounded quarterly) Annual Interest Rate (compounded quarterly) Number of Years: Number of Years 1 ot 4 words 61 of 1029