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Leslie McCormack is in the spring quarter of her freshman year of college. She and her friends already are planning a trip to Europe after
Leslie McCormack is in the spring quarter of her freshman year of college. She and her friends already are planning a trip to Europe after graduation in a little over three years. Leslie would like to contribute to a savings account over the next three years in order to accumulate enough money to take the trip. Assume an interest rate of 8%, compounded quarterly (FV of $1. PV of $1. EVA of $1. PVA of $1. FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) How much will Leslie accumulate in three years by depositing $680 at the beginning of each of the next 12 quarters? (Round your final answers to nearest whole dollar amount.) Table or calculator function: Payment $ 680 12 Future Value On December 31, 2018. Interlink Communications issued 6% stated rate bonds with a face amount of $102 million. The bonds mature on December 31, 2048. Interest is payable annually on each December 31, beginning in 2019. (FV of $1. PV of $1. EVA of $1. PVA of $1. FVAD of S1 and PVAD of $l) (Use appropriate factor(s) from the tables provided.) Determine the price of the bonds on December 31, 2018, assuming that the market rate of interest for similar bonds was 7%. (Enter your answers in whole dollars. Round your final answers to nearest whole dollar amount.) Table values are based on: Cash Flow Amount Present Value Interest Principal Price of bonds
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