part 5

Part 4 IB Attempt 1/10 for 1.5 pts. Now assume that the interest rate is 13%. What is the present value of all the gifts? 6160.17 Correct Having the discount rate in a separate cell makes it easy to get the result. B D E F G A 1 Discount rate 2 0.13 2023 2024 2025 2026 2027 Sum 3 Year 4 From now 5 Cash flow 1 3 4 5 2 1,600 1,253.03 1,400 1,238.94 6 PV 2022 1,800 1,247.49 2,000 1,226.64 2,200 1,194.07 6,160 The solution is $6,160. A lower discount rate results in a higher present value. Part 5 Ilho Attempt 1/10 for 1.5 pts. Still assume that the interest rate is 13%. What is the future value of all the gifts? 0+ decimals