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Could you please answer part B by showing step by step calculation. Thank you in advance. Using time value of money tables or a financial
Could you please answer part B by showing step by step calculation. Thank you in advance.
Using time value of money tables or a financial calculator, calculate the following: (Use Exhibit 1B-1, Exhibit 1B-2, Exhibit 1B-3, Exhibit 18- 4) a) The future value of $500 six years from now at 5 percent. (Round time value factors to 3 decimal places and final answer to 2 decimal places. Omit the "$" sign in your response.) Future value 670.05 b) The future value of $600 saved each year for 10 years at 7 percent. (Round time value factors to 3 decimal places and final answer to 2 decimal places. Omit the "S" sign in your response.) Future value $ C) The amount you have to deposit today (present value) at a 7 percent interest rate to have $800 five years from now. (Round time value factors to 3 decimal places and final answer to the nearest dollar amount. Omit the "$" sign in your response.) Amount to be deposited $ 570.39 d) The amount you have to deposit today to be able to take out $400 a year for 8 years from an account earning 7 percent. (Round time value factors to 3 decimal places and final answer to the nearest dollar amount. Omit the "$" sign in your response.) Amount to be deposited $ 232.80Step by Step Solution
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