Complete the four cases using your individually assigned values for the variables. Be very careful to use your individually assigned variables. Your answers will be graded as wrong, if you use the wrong variables.

Use the time value tables found in your textbook when required to show your work (use the same method as I did in class). Do NOT use finance calculators, excel formulas, etc. to calculate values. You can round to the nearest dollar.

Case #1 ( 20 points)

Calculate the following: Determine the present value of an investment in equipment if it is expected to provide annual savings of $_($34,300)_ for _(18 years and has a resale value of $_(10300)_ at the end of that period. Assume an interest rate of 5 % and the savings are realized at year-end.

Show your final answer and show all the work to support your answer.

Case # 2 ( 40 points)

On January 1, 2020 the Kiner Co. issued three-year bonds with a face value of $17500 and a stated interest rate of 6.5 %. Interest is payable quarterly. The bonds were sold to yield(market rate) of 16%

Calculate the issues price of the bonds. Show your final answer and show all the work to support your answer.

Prepare the bond amortization table using the format covered in class.

Case # 3 ( 20 points)

On January 1, 2020, ABC Corp. borrowed $93900 by signing an installment loan. The loan will be repaid in 17 equal payments, one at the beginning of each year. The first payment is made on January 1, 2020. The interest rate for the loan is 11 %.

Calculate the annual payment required. Show your final answer and show all the work to support your answer.

Prepare the amortization table for the loan using the format covered in class.

Case # 4 ( 20 points)

Assume the payments will be made at the end of each year (the first payment is made on December 31, 2020.); recalculate your answer for case # 3.

Calculate the annual payment required. Show your final answer and show all the work to support your answer.

Prepare the amortization table for the loan using the format covered in class.