Brief Exercise G-03 Liam Company signed a lease for an office building for a period of 8 years. Under the lease agreement, a security deposit of $7,000 is made. The deposit will be returned at the expiration of the lease with interest compounded at 4% per year. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) What amount will Liam receive at the time the lease expires? (Round answer to 2 decimal places, e.g. 25.25.) Amount at the time the lease expires Click if you would like to Show Work for this question: Open Show Work Brief Exercise G-19 Tim Howard has been offered the opportunity of investing $44,302 now. The investment will earn 8% per year and at the end of that time will return Tim $82,000. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) How many years must Tim wait to receive $82,000? (Hint: Use Present value of 1 factor table.) (Round answer to 0 decimal places, e.g. 25.) Tim must wait years Click if you would like to Show Work for this question: Open Show Work Brief Exercise G-08 Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) (a) What is the present value of $25,500 due 10 periods from now, discounted at 11%? (Round answer to 2 decimal places, e.g. 25.25.) Present value (b) What is the present value of $25,500 to be received at the end of each of 7 periods, discounted at 10%? (Round answer to 2 decimal places, e.g. 25.25.) Present value Click if you would like to Show Work for this question: Open Show Work Table 1 Future Value of 1 (n) Periods 4% 5% 0 1.00000 1.00000 6% 7% 8% 9% 10% 11% 12% 15% 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1 1.04000 1.05000 1.06000 1.07000 1.08000 1.09000 1.10000 1.11000 1.12000 1.15000 2 1.08160 1.10250 1.12360 1.14490 1.16640 1.18810 1.21000 1.23210 1.25440 1.32250 3 1.12486 1.15763 1.19102 1.22504 1.25971 1.29503 1.33100 1.36763 1.40493 1.52088 4 1.16986 1.21551 1.26248 1.31080 1.36049 1.41158 1.46410 1.51807 1.57352 1.74901 5 1.21665 1.27628 1.33823 1.40255 1.46933 1.53862 1.61051 1.68506 1.76234 2.01136 6 1.26532 1.34010 1.41852 1.50073 1.58687 1.67710 1.77156 1.87041 1.97382 2.31306 7 1.31593 1.40710 1.50363 1.60578 1.71382 1.82804 1.94872 2.07616 2.21068 2.66002 8 1.36857 1.47746 1.59385 1.71819 1.85093 1.99256 2.14359 2.30454 2.47596 3.05902 9 1.42331 1.55133 1.68948 1.83846 1.99900 2.17189 2.35795 2.55803 2.77308 3.51788 10 1.48024 1.62889 1.79085 1.96715 2.15892 2.36736 2.59374 2.83942 3.10585 4.04556 11 1.53945 1.71034 1.89830 2.10485 2.33164 2.58043 2.85312 3.15176 3.47855 4.65239 12 1.60103 1.79586 2.01220 2.25219 2.51817 2.81267 3.13843 3.49845 3.89598 5.35025 13 1.66507 1.88565 2.13293 2.40985 2.71962 3.06581 3.45227 3.88328 4.36349 6.15279 14 1.73168 1.97993 2.26090 2.57853 2.93719 3.34173 3.79750 4.31044 4.88711 7.07571 15 1.80094 2.07893 2.39656 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 5.89509 6.86604 10.76126 18 2.02582 2.40662 2.85434 3.37993 3.99602 4.71712 5.55992 6.54355 7.68997 12.37545 19 2.10685 2.52695 3.02560 3.61653 4.31570 5.14166 6.11591 7.26334 8.61276 14.23177 20 2.19112 2.65330 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 (n) Payments 4% 5% 6% 7% 8% 9% 10% 11% 12% 15% 1 1.00000 1.00000 1.00000 1.0000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 2 2.04000 2.05000 2.06000 2.0700 2.08000 2.09000 2.10000 2.11000 2.12000 2.15000 3 3.12160 3.15250 3.18360 3.2149 3.24640 3.27810 3.31000 3.34210 3.37440 3.47250 4 4.24646 4.31013 4.37462 4.4399 4.50611 4.57313 4.64100 4.70973 4.77933 4.99338 5 5.41632 5.52563 5.63709 5.7507 5.86660 5.98471 6.10510 6.22780 6.35285 6.74238 6 6.63298 6.80191 6.97532 7.1533 7.33592 7.52334 7.71561 7.91286 8.11519 8.75374 7 7.89829 8.14201 8.39384 8.6540 8.92280 9.20044 9.48717 9.78327 10.08901 11.06680 8 9.21423 9.54911 9.89747 10.2598 10.63663 11.02847 11.43589 11.85943 12.29969 13.72682 9 10.58280 11.02656 11.49132 11.9780 12.48756 13.02104 13.57948 14.16397 14.77566 16.78584 10 12.00611 12.57789 13.18079 13.8164 14.48656 15.19293 15.93743 16.72201 17.54874 20.30372 11 13.48635 14.20679 14.97164 15.7836 16.64549 17.56029 18.53117 19.56143 20.65458 24.34928 12 15.02581 15.91713 16.86994 17.8885 18.97713 20.14072 21.38428 22.71319 24.13313 29.00167 13 16.62684 17.71298 18.88214 20.1406 21.49530 22.95339 24.52271 26.21164 28.02911 34.35192 14 18.29191 19.59863 21.01507 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 34.40536 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 55.74972 75.83636 19 27.67123 30.53900 33.75999 37.3790 41.44626 46.01846 51.15909 56.93949 63.43968 88.21181 20 29.77808 33.06595 36.78559 40.9955 45.76196 51.16012 57.27500 64.20283 72.05244 102.44358 Table 3 Present Value of 1 4% 5% 6% 7% 8% 9% 10% 11% 12% 15% (n) Periods 1 .96154 .95238 .94340 93458 .92593 .91743.90909 .90090 89286 .86957 2 .92456 90703 .89000 .87344 85734 .84168 .82645 .81162 79719 .75614 3 .88900 .86384 .83962 .81630 .79383 .77218 75132 .73119 .71178 .65752 4 .85480 .82270 .79209.76290 .73503 .70843 .68301 .65873 .63552 .57175 5 .82193 .78353 .74726 .71299 .68058 .64993 .62092 .59345.56743 .49718 6 .79031 .74622 .70496 .66634 .63017 .59627 .56447 .53464 .50663 .43233 7 7 .75992 .71068 .66506 .62275 .58349 .54703 .51316 .48166 .45235 .37594 .73069 .67684 .62741 .58201 .54027 .50187.46651 43393 .40388 .32690 8 9 9 .70259 .64461 .59190 .54393 .50025 .46043 .42410 .39092 .36061 28426 10 .67556 .61391 .55839 .50835 .46319 .42241 .38554 .35218 .32197 .24719 11 .64958 .58468 .52679 .47509 .42888 .38753 .35049 .31728 .28748 .21494 12 .62460 .55684 .49697 .44401 .39711 .35554 .31863 .28584 .25668 .18691 13 .60057 .53032 46884 .41496 .36770 .32618 .28966 .25751 .22917 .16253 14 .57748 .50507 44230 .38782 .34046 .29925 26333 23199 .20462 .14133 15 .55526 .48102 .41727 .36245 .31524 .27454 23939 .20900 .18270 .12289 16 .53391 .45811 39365 .33873 29189 .25187 .21763 .18829 .16312 .10687 17 .51337 .43630 37136 .31657 27027 23107 .19785 .16963 .14564 .09293 18 .49363 .41552 35034 29586 25025 .21199 .17986 . 15282 .13004 .08081 19 .47464 .39573 .33051 .27615 23171 .19449 .16351 .13768 .11611 .07027 20 .45639 37689 .31180 25842 .21455 .17843 .14864 .12403 .10367 .06110 Table 4 Present Value of an Annuity of 1 4% 5% 6% 7% 8% 9% 10% 11% 12% 15% (n) Payments 1 .96154 .95238 .94340 .93458 .92593 .91743 .90909 .90090 .89286 .86957 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 2.67301 2.62432 2.57710 2.53130 2.48685 2.44371 2.40183 2.28323 4 3.62990 3.54595 3.46511 3.38721 3.31213 3.23972 3.16986 3.10245 3.03735 2.85498 5 4.45182 4.32948 4.21236 4.10020 3.99271 3.88965 3.79079 3.69590 3.60478 3.35216 6 5.24214 5.07569 4.91732 4.76654 4.62288 4.48592 4.35526 4.23054 4.11141 3.78448 7 6.00205 5.78637 5.58238 5.38929 5.20637 5.03295 4.86842 4.71220 4.56376 4.16042 8 6.73274 6.46321 6.20979 5.97130 5.74664 5.53482 5.33493 5.14612 4.96764 4.48732 9 7.43533 7.10782 6.80169 6.51523 6.24689 5.99525 5.75902 5.53705 5.32825 4.77158 10 8.11090 7.72173 7.36009 7.02358 6.71008 6.41766 6.14457 5.88923 5.650225.01877 11 8.76048 8.30641 7.88687 7.49867 7.13896 6.80519 6.49506 6.20652 5.93770 5.23371 12 9.38507 8.86325 8.38384 7.94269 7.53608 7.16073 6.81369 6.49236 6.19437 5.42062 13 9.98565 9.39357 8.85268 8.35765 7.90378 7.48690 7.10336 6.74987 6.42355 5.58315 14 10.56312 9.89864 9.29498 8.74547 8.24424 7.78615 7.36669 6.98187 6.62817 5.72448 15 11.11839 10.37966 9.71225 9.10791 8.55948 8.06069 7.60608 7.19087 6.81086 5.84737 16 11.65230 10.83777 10.10590 9.44665 8.85137 8.31256 7.82371 7.37916 6.97399 5.95424 17 12.16567 11.27407 10.47726 9.76322 9.12164 8.54363 8.02155 7.54879 7.11963 6.04716 18 12.65930 11.68959 10.82760 10.05909 9.37189 8.75563 8.20141 7.70162 7.24967 6.12797 19 13.13394 12.08532 11.15812 10.33560 9.60360 8.95012 8.36492 7.83929 7.36578 6.19823 20 13.59033 12.46221 11.46992 10.59401 9.81815 9.12855 8.51356 7.96333 7.46944 6.25933