For each of the following situations, identify (1) the case as either (a) a present or a future value and (b) a single amount or an annuity. (2) the table you would use in your computations (but do not solve the problem), and (3) the interest rate and time periods you would use. (PV of $1. EV of $1. PVA of $1, and EVA of S1) (Use appropriate factor(s) from the tables provided. Round "Table Factors" to 4 decimal places.) a. You need to accumulate $15,000 for a trip you wish to take in seven years. You are able to earn 12% compounded semiannually on your savings. You plan to make only one deposit and let the money accumulate for seven years. How would you determine the amount of the one-time deposit? b. Assume the same facts as in part (a) except that you will make semiannual deposits to your savings account. What is the required amount of each semiannual deposit? 1. You want to retire after working 30 years with savings in excess of $1,800,000. You expect to save $3,400 a year for 30 years and earn an annual rate of interest of 8%. c-2. Will you be able to retire with more than $1,800,000 in 30 years? d-1. A sweepstakes agency names you a grand prize winner. You can take $238,000 immediately or elect to receive annual Installments of $27,000 for 15 years. You can earn 10% annually on any investments you make d-2. Which prize do you choose to receive? Complete this question by entering your answers in the tabs below. Req A Req B Req Ci Req C2 Req D1 Req D2 You need to accumulate $15,000 for a trip you wish to take in seven years. You are able to earn 12% compounded semiannually on your savings. You plan to make only one deposit and let the money accumulate for seven years. How would you determine the amount of the one-time deposit? (Round your answer to 2 decimal places.) Future Value Table Values are Based on: n Table Factor Present Value Complete this question by entering your answers in the tabs below.. Req A Req B Req C1 Req C2 Req D1 Req D2 Assume the same facts as in part (a) except that you will make semiannual deposits to your savings account, what is the required amount of each semiannual deposit? (Round your answer to 2 decimal places.) Future Value Table Factor Semiannual deposits Table Values are Based on: n = = 4 Complete this question by entering your answers in the tabs below. Req A Req B Req Cl Req C2 Req D1 Req D2 You want to retire after working 30 years with savings in excess of $1,800,000. You expect to save $3,400 a year for 30 years and earn an annual rate of interest of 8%. (Round your answer to 2 decimal places.) Yearly Deposits Table Values are Based on: n Table Factor Future Value < Req B Req C2 > Complete this question by entering your answers in the tabs below. Req A Req B Req C1 Req C2 Req D1 Req DZ Will you be able to retire with more than $1,800,000 in 30 years? Will you be able to retire with more than $1,800,000 in 30 years? < Req C1 Req D1 > Complete this question by entering your answers in the tabs below. Req A Req B Req C1 Req C2 Req D1 Req D2 A sweepstakes agency names you a grand prize winner. You can take $238,000 immediately or elect to receive annual installments of $27,000 for 15 years. You can earn 10% annually on any investments you make. (Round your answer to 2 decimal places.) Annual Installment Table Values are Based on: Table Factor Present Value < Req C2 Req D2 > Complete this question by entering your answers in the tabs below. Req A Req B Req C1 Req C2 Req D1 Req D2 Which prize do you choose to receive? Which prize do you choose to receive? < Req D1 Ron 12 Buk Resize Photos Nightbot Dashbo Snappa YouTube to Mp3 C Online MP3 Cutter PhotoScissors Online SOAP2DAY 3CMGOOGIE hd ENG bts world t Table B.1 Present Value of 1 p-1/(1+i)" Rate Periods 1% 2% 3% 4% 5% 1 0.9901 09804 0.9709 0.9615 09524 6% 0.9434 7% 8% 2 0.9803 0.9612 0.9426 0.9246 0.9070 0.8900 3 0.9706 0.9423 0.9151 0.8890 0.8638 0.8396 4 0.9610 0.9238 0.8885 0.8548 0.8227 0.7921 0.7629 0.9346 0.9259 0.8734 0.8573 0.8163 0.7938 0.7350 $ 0.9515 0.9057 0.8626 0.8219 0.7835 0.7473 0.7130 6 0.9420 0.8880 0.8375 0.7903 0.7462 7 0.9327 0.8706 08131 0.7599 0.7107 8 0.9235 0.8535 0.7894 0.7307 0.6768 9 09143 0.8368 0.7664 0.7026 10 0.9053 0.8203 0.7441 0.6756 11 0.8963 0.8043 0.7224 0.6496 0.5847 12 0.8874 0.7885 0.7014 0.6246 0.5568 0.4970 13 0.8787 0.7730 0.6810 0.6006 0.5303 0.4688 14 0.8700 0.7579 0.6611 0.5775 0.5051 0.4423 15 0.8613 0.7430 0.6419 0.5553 0.4810 0.4173 0.3624 16 0.8528 0.7284 0.6232 05339 0.4581 03936 0.3387 17 0.8444 0.7142 0.6050 0.5134 0.4363 0.3714 18 0.8360 0.7002 0.5874 0.4936 04155 0.3503 19 08277 06864 0.5703 20 08195 0.6730 0.5537 0.4746 04564 0.3957 03769 25 30 35 07419 0.7059 0.7798 0.6095 0.4776 04120 0.3554 0.3751 02953 02330 0.1842 0.3305 0.2765 02317 0.3118 0.2584 0.2145 0.1460 0.5521 0.5000 40 0.6717 0.4529 0.3066 0.3083 0.2314 0.2534 0.1813 0.2083 0.1420 0.1741 0.1314 01301 0.0937 0.0972 00668 9% 0.9174 0.8417 0.7722 0.7513 0.7118 0.7084 0.6830 0.6355 0.6806 0.6499 0.6209 0.5674 0.7050 0.6663 0.6302 0.5963 0.5645 0.5066 0.6651 0.6227 0.5835 0.5470 0.5132 0.4523 0.3759 0.6274 0.5820 05403 0.5019 04665 0.6446 0.5919 0.5439 0.5002 04604 0.4241 0.6139 0.5584 0.5083 0.4632 0.4224 0.5268 0.4751 0.4289 03875 0.4440 0.3971 0.3555 0.4150 0.3677 0.3262 0.3878 0.3405 0.2992 0.2633 0.2046 0.1413 0.3152 0.2745 0.2394 0.1827 0.1229 0.2919 0.2519 0.2176 0.1631 0.3166 0.2703 0.2311 0.1978 0.1456 0.2959 0.2502 0.2120 0.1945 0.1635 0.1784 0.1486 0.1037 0.1160 0.0923 0.0588 0.0304 009941 0.0754 0.0573 00334 0.0151 0.8264 10% 0.9091 0.8929 0.7972 12% 15% Periods 08696 1 0.7561 2 0.6575 3 0.5718 4 0.4972 04323 6 7 0.4039 0:3269 8 0.3606 0.2843 9 0.3855 0.3220 0.3505 0.2875 0.2149 0.3186 0.2567 0.1869 0.2897 0.2292 0.1625 02472 10 11 12 13 14 15 0.1069 16 0.0929 17 0.1799 0.1300 0.0808 18 0.1161 0.0703 19 0.0611 20 25 30 0.0676 00460 00490 0.0356 00318 0.0221 0.0189 0.0107 0.0075 35 0.0037 40 Used to compute the present value of a known future amount. For example: How much would you need to invest today at 10% compounded semiannually to accumulate $5,000 in 6 year rate of 596), the factor is 0.5568. You would need to invest $2,784 today (35,000 0.5568) Table B.2 Future Value of I Rate Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 15% Periods 0 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1 1.0100 1.0200 1.0300 1.04001 2 10201 1.0404 1.0609 1.0816 3 1.0303 1.0612 1.0927 1.1249 4 1.0406 108241 1.1255 1.1699 5 1.0510 1.1041 1.1593 1.2167 6 1.0615 11262 1.1941 1.2653 1.0500 1.0600 1.0700 10800 1.1025 1.1236 1.1449 1.1664 1.1576 1.1910 12250 12597 1.3310 1.4049 1.2155 12625 1.3108 1.3605 14641 1.5735 1.2763 1.3382 14026 1.4693 1.5386 1.6105 13401 14185 1.5007 1.0000 1.0900 1.1000 1.1881 12100 1.2544 1.2950 14116 1.0000 1.0000 1.0000 0 1.1200 1:1500 I 13225 2 15209 3 1.7490 4 1.7623 2.0114) 5 2 1.0721 1.1487 1.2299 13159 1.4071 1.5036 1.5869 1.6771 1.6058 1.7138 18280 1.9487 1.7716 1.9738 2.3131 6 2.2107 2.6600 7 8 1.0829 11717 1.2668 13686 1.4775 15938 1.7182 1.8509 1.9926 21436 24760 3.0590 8 9 1.0937 1.1951 13048 1.4233 1.5513 1.6895 1.83851 1.9990 2.1719 23579 2.7731 35179 9 10 1.1046 12190 1.3439 1.4802 1.6289 1.7908 1.9672 21589 2.3674 2.5937 3.1058 4.0456 10 11 1.1157 1.2434 1.3842 1.5395 1.7103 18983 2.1049 2.3316 2.5804 2.8531 3.4785 46524 11 12 11268 1:2682 14258 1.6010 1.7959 20122 22522 2.5182 2.8127 3.1384 13 1.1381 1.2936 1.4685 1.6651 1.8856 2.1329 2.4098 14 1.1495 13195 1.5126 1.7317 19799 2.2609 25785 15 1.1610 13459 1.5580 1.8009 20789 2.3966 16 11726 1.3728 1.6047 1.8730 2.1829 17 1.1843 1.4002 1.6528 19479 22920 18 1.1961 1.4282 1.7024 2.0258 2.4066 19 1.2081 1.4568 1.7535 2.1068 25404 2.6928 2.8543 25270 3.0256 2.7590 2.9522 20 1.2202 1.4859 1.8061 2.1911 2.6533 3.2071 3.8697 46610 25 1.2824 1.6406 2.0938 2.6658 30 1.3478 35 14166 40 14889 22080 18114) 24273 1.9999 2.8139 3.9461 5.5160 3.2620 48010 70400 3.2434 4.3219 3.3864 4.2919 5.4274 6.8485 5.7435 7.6123 100627 7.6861 10.6766 14.7853 10.2857 14.9745 21.7245 5.1417 56044 8.6231 13.2677 20.4140 31.4094 2.7196 3.0658 3.4523 2.9372 3.3417 3.7975 4.8871 3.1722 3.6425 4.1772 5.4736 34259 3.9703 4.5950 6.1304 9.3576 3.1588 3.7000 4.3276 5.0545 6.8660 10.7613 3.3799 39960 4.7171 5.5599 7.6900 12.3755 3.6165 43157 6.1159 86128 14.2318 6.7275 9.6463 16.3665 10.8347 17.0001 1744941 3.8960 5.3503 4.3635 6.1528 12 13 7.0757 14 8.1371 15 16 17 18 19 20 32.9190 25 29.9599 66 2118 30 28.1024 52.7996 45.2593 930510 133 1755 267.8635 35 40 Used to compute the future value of a known present amount. For example: What is the accumulated value of $3,000 invested today at 8% compounded quarterly for 5 years? Using the fact is 14859. The occumulated value is $4,457.70 ($3.000 1.4859) Table B.3 Present Value of an Annuity of 1 p11-1/(1+ Rate Periods 1% 2% 3% 4% 5% 6% 1 0.9901 0.9804 0.9709 0.9615 0.9524 0.9434 2 19704 1.9416 1.9135 1.8861 3 2.9410 2.8839 28286 27751 2.7232 1.8594 1.8334 2.6730 4 3.9020 3.8077 3.7171 3.6299 3.5460 5 4.8534 4.7135 4.5797 4.4518 6 5.7955 5.6014 5.4172 5.2421 7 6.72821 64720 6.2303 6.0021 5.7864 5.5824 3.4651 4.3295 42124 4.1002 5.0757 4.9173 4.7665 5.3893 8 7.6517 7.3255 7.0197 6.7327 6.4632 6.2098 9 8.5660 8.1622 7.7861 7.4353 7.1078 6.8017 10 9.4713 89826 85302 8.1109 7.7217 7.3601 11 10 3676 9.7868 9.2526 8.7605 8.3064 12 11.2551 10.5753 9.9540 9.3851 8.8633 13 12.1337 11.3484 14 10.6350 13.0037 12.1062 11.2961 15 13.8651 12.8493 119379 10.3797 9.7122 16 14.7179 13.5777 12.5611 17 15.5623 14.2919 13.1661 18 16.3983 14.9920 19 17.2260 20 18.0456 25 220232 19.5235 17,4131 30 35 25 8077 22.3965 196004 29 4086 40 32 8347 24.9986 273555 21.4872 23.1148 15.6785 14.3238 163514 14.8775 13.5903 15.6221 172920 18.6646 19.7928 11.2741 11.6896 120853 12.4622 14.0939 15.3725 16 3742 17.1591 7% 09346 1.8080 2.6243 25771 2.5313 2.4869 3.3872) 33121 3.2397 3.1699 3.9927 3.8897 3.7908 4.6229 4.4859 4.3553 4.1114 5.2064 5.0330 4.8684 45638 4.1604 5.9713 5.7466 5.5348 5.3349 4.9676 4.4873 65152 6.2469 5.9952 5.7590 5.3282 4.7716 7.0236 671011 6.4177 61446 5.6502 5.0188 7.8869 7.4987 7.1390) 6.8052 6.4951 5.9377 5.2337 8.3838 7.9427 7.5361 7.1607 68137 6.1944 5.4206 9.9856 9.3936 8.8527 8.3577 7.9038 7.1034 64235 5.5831 10.5631 9.8986 9.2950 8.7455 8.2442 7.7862 7.3667 6.6282 5.7245 11.1184 9.1079 8.5595 8.0607 7.6061 6.8109 5.8474 11.6523 10.8378 10.1059 94466 8.8514 83126 7.8237 69740 5.9542 12.1657 10.4773 97632 9.1216 8.5436 80216 7.1196 6.0472 13.7535 12 6593 10.8276 10.0591 93719 8.7556 8.2014 7.2497 61280 13.1339 11.1581 10.3356 9.6036 8.9501 8.3649 7.3658 6.1982 11.4699 10.5940 9.8181 9.1285 85136 7.4694 6.2593 12.7834 11.6536 10.6748 98226 9.0770 7.8431 64641 13.7648 12.4090 112578 10.2737 9.4269 80552 14.4982 12.9477 11.6546 10 5668 96442 8.1755 15.0463 13.3317 11.9246 10.7574 9.7791 82438 8% 9% 10% 12% 15% Periods 0.9259 0.9174 0.9091 0.8929 0.8696 1 1.7833 1.7591 1.7355 1.6901 1.6257 2 2.4018 2.2832 3 3.0373 2.8550 4 3.6048: 3.3522 5 3.7845 6 7 $ 9 10 11 12 7.4869 13 14 15 16 17 18 19 20 25 6.5660 30 6.6166 35 6.6418 40 Used to calculate the present value of a series of equal payments made at the end of each period. For example: What is the present value of $2,000 per year for 10 years assuming an annual interes years is the equivalent of $12.835 today ($2,000 6.4177) Table B.4 Future Value of an Annuity of 1 1-11-11/7 Rate Periods 1% 2% 3% 4% 5% 6% 796 8% 1 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 2 2.0100 2.0200 2.0300 2.0400 3 3.0301 3.0604 3.0909 3.1216 3.1525 4 4.0604 4.1216 4.1836 4.2465 43101 S 5.1010 5.2040 5.3091 5.4163 5.5256 6 6.1520 6.3081 6.4684 6.6330 6.8019 7 7.2135 7.4343 7.66251 7.8983 8.1420 8 8.2857 8.5830 8.8923 9.2142 9.5491 9 93685 9.7546 10.1591 10.5828 10 10.4622 10.9497 11.4639 11 11.5668 12 12.6825 12.1687 12.8078 134121 16.8699 178885 13 13.8093 14 6803 17.7130 18 88211 20.1406 14 14.9474 15.9739 21.0151 22.5505 15 16.0969 172934 18.5989 23.2760 2.0500 2.0600 2.0700 3.1836 3.2149 3.2464 3.2781 3.3100 4.3746 4.4399 4.5061 4:5731 4.6410 5.6371 5.7507 5.8666 5.9847 6.1051 6.9753 7.1533 7.3359 7.5233 3938 86540 8.9228 9.2004 9.4872 10.0890 98975 10.2598 10 6366 11.0285 11.4359 12.2997 13.7268 11.0266 11.4913 11.9780 12.4876 13.0210 13.5795 14.7757 16.7858 12.0061 12.5779 13.1808 13.8164 14:4866 15.1929 15.9374 17.5487 13.4864 14.2068 14.9716 15.7836 16.6455 17.5603 18.5312 20.6546 14.1920 15.0258 15.9171 18.9771 15.6178 16.6268 21.4953 17.0863 18.2919 19.5986 20.0236 21.5786 9% 1.0000 1.0000 2.0800 2.0900 10% 12% 1.0000 1.0000 1.0000 -15% Periods 1 2.1000 2.1200 2.1500 2 3.3744 3.4725 3 4.7793 49934 4 63528 6.7424 5 7.7156 8.1152 8.7537 6. 11.0668 7 8 9 20 3037 10 24.3493 11 201407 21.3843 24.1331 29.0017 12 24.2149 16 17.2579 18.6393 20.1569 21.8245 23.6575 17 18.4304 20.0121 21.7616 23 6975 25.8404 22.9534 26.0192 27.9750 25.1290 27.1521 29.3609 31.7725 25.6725 278881 303243 33.0034 35.9497 28.2129 30.8402 24.5227 280291 34.3519 13 32 3926 40.5047 14 37.2797 47.5804 15 42.7533 55.7175 16 18 19.6147 21.4123 23.4144 25 6454 28.1324 19 208109 22.8406 25 1169 27.6712 30.9057 30.5390 33.7600 33.9990 337502 36.9737 40.5447 48.8837 37.4502 41.3013 45.5992 65.0751 17 55.7497 75.8364 18 20 22.0190 24.2974 26.8704 29.7781 33 0660 36.7856 37 3790 40.9955 45.76201 51.1601 41.4463 46.0185 51.1591 634397 88 2118 19 57.2750 72.0524 102 4436 20 25 28.2432 320303 36.4593 41.6459 47.7271 54.8645 63.2490 73.1059 84.7009 98.3471 133 3339 212.7930 25 30 34.7849 40.5681 47.5754 56.0849 66.4388 79.0582 94.4608 113 2832 136 3075 164.4940 241.3327 434.7451 30 35 41 6603 40 48 8864 49.9945 60.4020 60 4621 75.4013 73.6522 95.0255 903203 111 4348 138.2369 1723168 215.7108 271 0244 431 6635 881.1702 35 120 7998 154.7620 199.6351 259 0565 337.8824 442.5926 767 0914 1,779.0903 40 Used to calculate the future value of a series of equal payments made at the end of each period. For example: What is the future value of $4,000 per year for 6 years asuming an annual interest accumulates to $29,343.60 (34,000 7.3359)