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Need help with answering these questions FIN430 What decisions do you make that involve time value of money calculations? Use examples and explain your answers.
Need help with answering these questions FIN430
- What decisions do you make that involve time value of money calculations? Use examples and explain your answers.
- Assume you have a mortgage with a balance of $200,000, at 5% fixed-rate interest and 20 years remaining on the loan. Would you benefit in any way from making an extra payment of $100 each month on the mortgage?Justify your answers.
- The present or future value calculations are dependent upon the interest rates used in the calculations.How would you identify the best interest rate to use in a time value calculation?Explain your answer.
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