If you want to have $50,000 for a down payment for a home in five years, what amount would you need to deposit today? Assume that your money will earn 6 percent.

Use Present Value for LUMP SUM (Round your PV factor to 3 decimal places and final answer to the nearest whole dollar.)

Deposit (PV) = Desired Future Value x PV Factor

If you borrow $6,000 with a 7% interest rate to be repaid in five equal payments at the end of the next five years, what would be the amount of each payment?

Use Present Value for an ANNUITY (Round your PVA factor to 3 decimal places and final answer to the nearest whole dollar.)

Payment Amount (PV) = Amount borrowed / PVA Factor