Determine the future value of the following single amounts (EV of S1. PV of $1. EVA of S1. PVA of $1. FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) (Round your final answers to nearest whole dollar amount.) n Future Value 1 2 3 4 Invested Amount $ 16,500 5 25,000 $ 37,000 $ 58,000 1- 5% 8% 8% 5% 12 4 12 12 Answer each of the following independent questions. Alex Meir recently won a lottery and has the option of receiving one of the following three prizes (1) $72,000 cash immediately. (2) $25,000 cash immediately and a six-period annuity of $8,200 beginning one year from today, or (3) a six period annuity of S14,100 beginning one year from today. (EVOI SI. PV of S1. EVA of S1. PVA of S1. FVAD of 51 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) 1. Assuming an interest rate of 5%, determine the present value for the above options. Which option should Alex choose? 2. The Weimer Corporation wants to accumulate a sum of money to repay certain debts due on December 31, 2030 Weimer will make annual deposits of $135,000 into a special bank account at the end of each of 10 years beginning December 31, 2021. Assuming that the bank account pays 6% interest compounded annually, what will be the fund balance after the last payment is made on December 31, 2030? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Assuming an interest rate of 5%, determine the present value for the above options. Which option should Alex choose? (Round your final answers to nearest whole dollar amount.) PV Annuity Immediate Cash PV Option 0 Annuity Payment Option 1 Option 2 Option 3 Which option should Alex choose? + $ $ 5 0 . 0 Required 2 > John Rider wants to accumulate $60,000 to be used for his daughter's college education. He would ke to have the amount available on December 31, 2026. Assume that the funds will accumulate in a certificate of deposit paying 8% in crest compounded annually (EV of 51. P of $1. EVA of S1. PVA O $1. FVAD of S1 and PVAD of SA (Use appropriate factor(s) from the asbles provided.) Answer each of the following independent questions. Required: 1. If John were to deposit a single amount, how much would he have to invest on December 31, 2021 2. It John were to make five equal deposits on each December 31, beginning a year later on December 31, 2022. what is the required amount of each deposit? 3. If John were to make five equal deposits on each December 31, beginning now, on December 31, 2021, what is the required amount of each deposit? (For all requirements, Round your final answers to nearest whole dollar amount.) 1 2 3 Amount Annuity amount Annuity amount Answer each of the following independent questions Alex Meir recently won a lottery and has the option of receiving one of the following three prizes (1) $72,000 cash immediately. (2) $25,000 cash immediately and a six-perlod annuity of $8,200 beginning one year from today, or (3) a six-period annuity of $14.100 beginning one year from today (FV of S1. PV of $1. EVA of S1. PVA of S1, FVAD of S1 and PVAD of S1) (Use appropriate factor(s) from the tables provided.) 1. Assuming an interest rate of 5%, determine the present value for the above options. Which option should Alex choose? 2. The Weimer Corporation wants to accumulate a sum of money to repay certain debts due on December 31, 2030 Weimer will make annual deposits of $135,000 into a special bank account at the end of each of 10 years beginning December 31, 2021. Assuming that the bank account pays 6% interest compounded annually, what will be the fund balance after the last payment is made on December 31 2030? Complete this question by entering your answers in the tabs below. Required 1 Required 2 The Weimer Corporation wants to accumulate a sum of money to repay certain debts due on December 31, 2030. Weimer will make annual deposits of $135,000 into a special bank account at the end of each of 10 years beginning December 31, 2021. Assuming that the bank account pays 6% interest compounded annually, what will be the fund balance after the last payment is made on December 31, 20307 (Round your final answers to nearest whole dollar amount.) Show less Table or calculator function Payment Future value
