Calculate the present value of $500,000 to be received in 7 years assuming an annual interest rate of 6 , compounded monthly Calculate the future value of $13,500 invested for 10 years assuming an annual interest rate of 6 Calculate the future value of $1,000 invested for 100 years assuming an annual interest rate of 8 , compounded monthly Calculate the present value of an ordinary annuity payment of $12,500 received quarterly for 30 years assuming a discount rate of 8 Calculate the present value of an annuity of $6,000 received quarterly that begins today and continues for 25 years, assuming a discount rate of 8 Calculate the future value of an ordinary annuity of $2,000 paid every quarter fo 10 years, assuming an annual earnings rate of 7 Calculate the future value of a quarterly annuity of $2,000 beginning today and continuing for 10 years, assuming an annual earnings rate of 7 Calculate the quarterly payment to be received over 5 years from a single investment of $50,000 earning 8 , compounded quarterly Calculate the payment to be received at the beginning of each quarter for 6 years from an investment of $15,000 earning 7 , compounded quarterly Calculate the monthly payment for a home loan of $150,000 financed at 6 75 over 15 years Calculate the NPV of a machine which is bought for $10,000, sold at the end of year 5 for $3,500, and produces the following cash flows year 1 $300 year 2 $600 year 3 $1200 year 4 $2400 year 5 $4800, assume the cost of capital is 6 Calculate the IRR of a project that requires an initial cash flow of $10,000, sold at the end of year 5 for $3,500, and produces the following cash flows year 1 $300 year 2 $600 year 3 $1200 year 4 $2400 year 5 $4800 Calculate the number of months it will take $10,000 to grow to $1,000,000 assuming an annual rate of return of 6 , compounded monthly Today Jim Jones purchased a new sports car for $80,000 He expects it to decrease in value at a rate of 6 compounded annually for the next 5 years How much will the car be worth at the end of the 5th year if his expectations are correct Tina, who just turned 18, deposits $20,000 gift into an interest bearing account earning 2 annual rate of interest compounded monthly How much will she have in the account when she retires at 60 assuming all interest is reinvested at the 2 rate Billy wants to give his daughter $150,000 on her graduation date in 5 years How much should he invest today at an annual interest rate of 3 compounded annually to have $150,000 in 5 years Mike expects to receive $100,000 from the sale of his business in 5 years What is the current value of his business if it is discounted at 9 compounded semiannually Jack expects to receive $1,000,000 in 40 years His opportunity cost is 6 compounded monthly What is this sum worth to Jack today Sarah borrowed $10,000 from her aunt to donate to charity Sarah paid back $7,000 to her aunt at the end of 3 years What was the average annual compound rate of interest on Sarahs loan from her aunt Billy purchased a certificate of deposit 5 years ago for $1700 If the certificate of deposit is due today in the amount of $2000, what is the average annual compound rate of return, assuming monthly compounding that Billy realized on his investment Gilbert purchased several gold coins for $30,000 Today, he sold the coins for $55,045 91 Gilbert estimated the average annual rate of return, compounded monthly, on the coins was 9 Approximately how many years did Gilbert own the coins Carol has been investing $5,000 annually in her 401(k) at the end of each year for the past 10 years in an equity mutual fund How much is the fund worth assuming she has earning 6 compounded annually on her investment Bill has been investing $10,000 at the beginning of each year for the past 5 years How much has he accumulated assuming he has earned 7 compounded annually on his investment Stan expects to receive $20,000 at the end of each month for the next 25 years from a trust fund His opportunity cost is 7 annually compounded monthly What are these payments worth today Cathy wants to purchase an annuity where she can withdraw $15,000 at the beginning of each year for the next 20 years She expects to earn 8 compounded annually on her investment How much should she pay for the annuity Alvin has retired with a savings of $5,000,000 He wants to withdraw periodic payments at the beginning of each month for the next 20 years He expects to earn 6 compounded monthly on his investments How much can he receive each month Clay recently purchased his house for $200,000 He put down 5 and he financed the balance over 15 years at 5 How much will Clays monthly mortgage payment be Clay recently purchased his house for $200,000 He put down 5 and he financed the balance over 15 years at 4 5 If Clays first payment is due on January 1st of the currently year, how much interest can he deduct in the current year How much interest can Clay deduct next year Clay recently purchased his house for $200,000 He put down 5 and he financed the balance over 15 years at 6 5 How much interest will he pay over the life of the loan

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Calculate the present value of $500,000 to be received in 7 years assuming an annual interest rate of 6%, compounded monthly. Calculate the future value

Calculate the present value of $500,000 to be received in 7 years assuming an annual interest rate of 6%, compounded monthly.
Calculate the future value of $13,500 invested for 10 years assuming an annual interest rate of 6%.
Calculate the future value of $1,000 invested for 100 years assuming an annual interest rate of 8%, compounded monthly.
Calculate the present value of an ordinary annuity payment of $12,500 received quarterly for 30 years assuming a discount rate of 8%.
Calculate the present value of an annuity of $6,000 received quarterly that begins today and continues for 25 years, assuming a discount rate of 8%.
Calculate the future value of an ordinary annuity of $2,000 paid every quarter fo 10 years, assuming an annual earnings rate of 7%.
Calculate the future value of a quarterly annuity of $2,000 beginning today and continuing for 10 years, assuming an annual earnings rate of 7%.
Calculate the quarterly payment to be received over 5 years from a single investment of $50,000 earning 8%, compounded quarterly.

Calculate the payment to be received at the beginning of each quarter for 6 years from an investment of $15,000 earning 7%, compounded quarterly.
Calculate the monthly payment for a home loan of $150,000 financed at 6.75% over 15 years.
Calculate the NPV of a machine which is bought for $10,000, sold at the end of year 5 for $3,500, and produces the following cash flows: year 1: +$300; year 2: +$600; year 3: +$1200; year 4: +$2400; year 5: +$4800, assume the cost of capital is 6%.
Calculate the IRR of a project that requires an initial cash flow of $10,000, sold at the end of year 5 for $3,500, and produces the following cash flows: year 1: +$300; year 2: +$600; year 3: +$1200; year 4: +$2400; year 5: +$4800.
Calculate the number of months it will take $10,000 to grow to $1,000,000 assuming an annual rate of return of 6%, compounded monthly.
Today Jim Jones purchased a new sports car for $80,000. He expects it to decrease in value at a rate of 6% compounded annually for the next 5 years. How much will the car be worth at the end of the 5th year if his expectations are correct.
Tina, who just turned 18, deposits $20,000 gift into an interest bearing account earning 2% annual rate of interest compounded monthly. How much will she have in the account when she retires at 60 assuming all interest is reinvested at the 2% rate?
Billy wants to give his daughter $150,000 on her graduation date in 5 years. How much should he invest today at an annual interest rate of 3% compounded annually to have $150,000 in 5 years?
Mike expects to receive $100,000 from the sale of his business in 5 years. What is the current value of his business if it is discounted at 9% compounded semiannually?

Jack expects to receive $1,000,000 in 40 years. His opportunity cost is 6% compounded monthly. What is this sum worth to Jack today?
Sarah borrowed $10,000 from her aunt to donate to charity. Sarah paid back $7,000 to her aunt at the end of 3 years. What was the average annual compound rate of interest on Sarahs loan from her aunt?
Billy purchased a certificate of deposit 5 years ago for $1700. If the certificate of deposit is due today in the amount of $2000, what is the average annual compound rate of return, assuming monthly compounding that Billy realized on his investment?
Gilbert purchased several gold coins for $30,000. Today, he sold the coins for $55,045.91. Gilbert estimated the average annual rate of return, compounded monthly, on the coins was 9%. Approximately how many years did Gilbert own the coins?
Carol has been investing $5,000 annually in her 401(k) at the end of each year for the past 10 years in an equity mutual fund. How much is the fund worth assuming she has earning 6% compounded annually on her investment?
Bill has been investing $10,000 at the beginning of each year for the past 5 years. How much has he accumulated assuming he has earned 7% compounded annually on his investment?
Stan expects to receive $20,000 at the end of each month for the next 25 years from a trust fund. His opportunity cost is 7% annually compounded monthly. What are these payments worth today?
Cathy wants to purchase an annuity where she can withdraw $15,000 at the beginning of each year for the next 20 years. She expects to earn 8% compounded annually on her investment. How much should she pay for the annuity?

Alvin has retired with a savings of $5,000,000. He wants to withdraw periodic payments at the beginning of each month for the next 20 years. He expects to earn 6% compounded monthly on his investments. How much can he receive each month?
Clay recently purchased his house for $200,000. He put down 5% and he financed the balance over 15 years at 5%. How much will Clays monthly mortgage payment be?
Clay recently purchased his house for $200,000. He put down 5% and he financed the balance over 15 years at 4.5%. If Clays first payment is due on January 1st of the currently year, how much interest can he deduct in the current year? How much interest can Clay deduct next year?
Clay recently purchased his house for $200,000. He put down 5% and he financed the balance over 15 years at 6.5%. How much interest will he pay over the life of the loan?