Business Finance FIN 3200 ASSIGNMENT 2 (Show all work for full credit) Present Value Years Interest Rate Future Value $570 15 10% 58.922 18% SOIES 12% $219,850 10 1. Given the ove data, calculate the future value in each one (Using the formula and also a financial calculator) Future Value Years Interest Rate Present Value $340 10 $5,227 20 29 $48,950 12% 5612 511 7 10% 2. Given the above data, calculate the present value in each case. (Using the formula and is a financial calculator) 3. Given the following data, solve for the interest rate in each case. (Use a financial calculator) Present Value Years Future Value Interest Rate 4 $7,350 7 $18.350 $274175 11 $65.000 593 412 $200.000 4. Given the following data, solve for the number of years in each case. (Use a financial calculator) Present Value Interest rate Future Value Years $1,200 12.500.71 $10110 $20745926 $75000 $182.044.60 $183,650 $308,000 5. You expect your newly born child to attend college in 18 years. You have $12,000 to set aside for that purpose You also expect that the total cost of college education to be $100,000 by that time. Calculate the interest rate at which you have to invest today to achieve your goal 6. How long does it take to double your money at interest rate? 7. How long does it take to triple your money at 9% interest rate? 8. Great Lakes Inc. has an unfunded pension liability of 5300 million that must be paid in 18 years. The financial analyst wants to discount this liability back to, present for valuation purposes. The appropriate discount rates What is the present value of this ability? 9. If you want to double your initial investment of $1,000 in five years, at what rate should you invest your money? 10. If you want to quadruple your initial investment of $1,000 in six years, at what rate should you invest your money? Present Value Years Interest Rate Future Value $570 15 10% $8,922 9 18% $61,133 3 12% $219,850 10 4% 1. Given the above data, calculate the future value in each case. (Using the formula and also a financial calculator) Future Value Yoars Interest Rate Present Value $349 10 6% $5,227 20 2% $48,950 12 12% $612,511 7 10% 2. Given the above data, calculate the present value in each case. (Using the formula and also a financial calculator). 3. Given the following data, solve for the interest rate in each case. (Use a financial calculator) Present Value Years Future Value Interest Rate 4 7 $475 $7,350 $27,175 $93,412 $615 $18,350 $65,000 $200,000 19 4. Given the following data, solve for the number of years in each case. (Une a financial calculator), Present Value Interest rato Future Value Years $1,200 8% $2,500.71 $16,310 12% $20.450.20 $75,000 $182.044,00 $183,650 $300,000 5. You expect your newly bom child to attend college in 18 years. You have $12,000 to set aside for that purpose You also expect that the total cost of college education to be $100,000 by that time. Calculate the interest rate at which you have to invest today to achieve your goal. 6. How long does it take to double your money at 9% interest rate? 7. How long does it take to triple your money at 9% Interest rate? 8. Great Lakes Inc. has an unfunded pension fiability of $300 million that must be paid in 18 years. The financial analyut wants to discount this liability back to present for valuation purposes. The appropriate discount rate is 8%. What is the present value of this liability? 9. If you want to double your initial investment of $1,000 in five years, at what rate should you invest your money? 10. If you want to quadruple your initial investment of $1,000 in six years, at what rate should you invest your money