Fundamentals of Financial Management, Concise Edition (9th Edition)

Integrated Case Chapter 4

Question A and K

A. Why are ratios? What are the five major categories of ratios?

K. In hindsight, what should D Leon have done in 2015?

Integrated Case Chapter 5

Question B and F

B. 1. Whats the future value of $100 after 3 years if it earns 4%, annual compounding?

2. Whats the present value of $100 to be received in 3 years if the interest rate is 4%, annual compounding?

F. 1. What is the future value of a 3 year, $100 ordinary annuity if the annual interest rate is 4%?

2. What is its present value?

3. What would the future and present values be if it was an annuity due?