please helpp me fill out this excel sheet... I do not know how to do this. please explain as well.
Home Formulas Data Insert Page Layout - Xv fx D136 A B D E F 6 H Present Value Finance Concept: The present value is the value today of a future cash flow. The formula is the reciprocal of the future value formula FV-PV. (1+ry If we divide both sides by elif we get: PV = FV (1/(1+r)') Where LA1+r) is the discount factor. It is the PV of a 51 future payment The discount rate calculated is also called the annual interest growth and intamal rate of return, depending on its 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 29 30 31 32 33 34 In Words: The present value is the future value afert pods) of a lump sum of multiple cash flows times the discount factor. We discount the future cash flows to the procent Using the Principle of Value Additivity, we can add the points together We will find the prosent value of equal payments or equal cash fees The Problem Let's assume your ich uncle has promised to you 5200 a thead of sy for the next five years You can invest all the cash flows each $2001 10% by depositing them in a savings account at your hank What is the cash flow stream worth to you today 35 Part 1. Prict Value of an annuity 36 37 38 39 40 41 200.00 on. disco por you hoofpads PVP Ver oyning amount FV - Floranding amount Finance Ce Pret Value of an answity - Future Value discounted to tady Presco Vale Future Valuemes Pistest facer PV-FV - PV-FV - PVIFO patate PV = 4 46 47 P5300 hestar the year 10 49 50 51 52 The Pracach loud Interest PV Ready PVCF FVCF MS + quizlet.com/205834333/finance-test-2 You will retin Use formulas to find your answer by completing the PV Tables Ya1 Ya 2 Yaar 3 Yaar 4 Yaar 5 Interest Rate Time Cash Flow PV Interest Factor Present Value Today 10% 0 0 1 200 2 200 3 200 4 200 5 200 First we must calculate the PV Interest Factor for cach cash flow. Then we find the PV of cach cash flow. Lastly, we sum the PVs to get the PV of the annuity 1 The PVIF formula is (IA). For Year 1 it is in cell E63 2 For Year 1 In cell E63 anter: ACI-SDSGOTI 3 For Year 2 through 5. copy your formula from cell E63. You must change the t value 4 Year 2 looks like this: I+SDSGO 2 Hint: You can copy formulas trom cell 663 by going to that cell, finding the black cross at the right bottom comer, and then hold down mouse and drag across Change the values Finding the PV of all the cash flows: Find the Present Value of each year's cash flow by multiplying CFPVIF: E62E63. Copy toss 6 Sum the cash tlows from years on through five by clicking on cell D 3. In cel D64 write sum E64-164) 3 Your answer should be 5756.16 - PV of the annuity 5598 12 Test your skills with this problem What is the PV of the cash flows if the interest 2017 7 8 What is the patient flows if the most is 27 9 Hint: Yound to change the discount ile in cells 21 Copy you by using the step with a 32 $942.6 94 Tat your skin with this problem 95 96 Compute the rest Value of a dwe for the year discount 97 9B Note Villu PV Delete the loss & 99 and that apy and 100 101 102 IN the Wind therent PV PVCF FVCF MS + Ready quizlet.com/205834333/finance-test-2-chapter-5... You will retire in 15 years and want to increase your contribution each LAB 3 Kaur LAB_3_Kaur zip TODOS Home Formulas Data Insert Page Layout A X & fx Review View D136 A B D E F G H 1 101 102 Using the built-in Excel Function Wizard: 103 On one of your manu bars is a function () symbol. We can use it to calculate 104 the Present Value of an Annuity 105 106 First put your cursor in the cell where you want the answer 107 Then click the function wizard, find the finance functions on the left column 108 double click on finance, then scroll down until you find PV and double click PV. 109 110 A box will open up. Fill in the inputs Rate> 0.1 111 and click OK Nper 5 112 number of periods 113 Pm Answer: 5758.16 cash flows 114 115 Using the formula directly 116 117 Use the Excel comandat poput 118 119 Try it in this all 120 Use the data from the table above. You can type in the cel dres of the inputs or casier, dick on the cell themselves 121 Your answers should be identical 122 123 124 Part 2. Graph Present Value of assities at different disewustrates 125 126 Fiece 127 As the discountanses, the PV Answeis words) 128 129 The latte is called the discount when we compute PV 130 131 We can see this concept on the phd It has been created for you, but we hoods 132 Fint med all make a Assume ananity of 500 for 5 year. 1040 134 135 136 137 51 118 10 139 Npor 140 141 142 Proper. p. 145 146 Milad Di PVC FVCE MS quizlet.com/205834333/Tinance-test-2-chapter-6... You will retire in 15 years and want to increase your contribution each LAB 3 Kau LAB 3 KISODE el File Edit View Insert Format Tools Data Window Help Formulas Data Review View Insert Page Layout + X & fx B C D E F G H AICI CINCIN COTTUI HOIT DTO Upy I CUTIS DISTIO DIT K L PV of Annuuties at various interest Rates Chart $1 $1 $1 PV of Annuity $1 SO Interest Rates The chant fills in automatically. It is made by the chart function in Excel You can change any of the inputs and the chart will adjust utomatically Note: As intestine, the PV of the annuity decreases sendationship 91 192 14 MS quizlet.com/2058343331 Home Formulas Data Insert Page Layout - Xv fx D136 A B D E F 6 H Present Value Finance Concept: The present value is the value today of a future cash flow. The formula is the reciprocal of the future value formula FV-PV. (1+ry If we divide both sides by elif we get: PV = FV (1/(1+r)') Where LA1+r) is the discount factor. It is the PV of a 51 future payment The discount rate calculated is also called the annual interest growth and intamal rate of return, depending on its 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 29 30 31 32 33 34 In Words: The present value is the future value afert pods) of a lump sum of multiple cash flows times the discount factor. We discount the future cash flows to the procent Using the Principle of Value Additivity, we can add the points together We will find the prosent value of equal payments or equal cash fees The Problem Let's assume your ich uncle has promised to you 5200 a thead of sy for the next five years You can invest all the cash flows each $2001 10% by depositing them in a savings account at your hank What is the cash flow stream worth to you today 35 Part 1. Prict Value of an annuity 36 37 38 39 40 41 200.00 on. disco por you hoofpads PVP Ver oyning amount FV - Floranding amount Finance Ce Pret Value of an answity - Future Value discounted to tady Presco Vale Future Valuemes Pistest facer PV-FV - PV-FV - PVIFO patate PV = 4 46 47 P5300 hestar the year 10 49 50 51 52 The Pracach loud Interest PV Ready PVCF FVCF MS + quizlet.com/205834333/finance-test-2 You will retin Use formulas to find your answer by completing the PV Tables Ya1 Ya 2 Yaar 3 Yaar 4 Yaar 5 Interest Rate Time Cash Flow PV Interest Factor Present Value Today 10% 0 0 1 200 2 200 3 200 4 200 5 200 First we must calculate the PV Interest Factor for cach cash flow. Then we find the PV of cach cash flow. Lastly, we sum the PVs to get the PV of the annuity 1 The PVIF formula is (IA). For Year 1 it is in cell E63 2 For Year 1 In cell E63 anter: ACI-SDSGOTI 3 For Year 2 through 5. copy your formula from cell E63. You must change the t value 4 Year 2 looks like this: I+SDSGO 2 Hint: You can copy formulas trom cell 663 by going to that cell, finding the black cross at the right bottom comer, and then hold down mouse and drag across Change the values Finding the PV of all the cash flows: Find the Present Value of each year's cash flow by multiplying CFPVIF: E62E63. Copy toss 6 Sum the cash tlows from years on through five by clicking on cell D 3. In cel D64 write sum E64-164) 3 Your answer should be 5756.16 - PV of the annuity 5598 12 Test your skills with this problem What is the PV of the cash flows if the interest 2017 7 8 What is the patient flows if the most is 27 9 Hint: Yound to change the discount ile in cells 21 Copy you by using the step with a 32 $942.6 94 Tat your skin with this problem 95 96 Compute the rest Value of a dwe for the year discount 97 9B Note Villu PV Delete the loss & 99 and that apy and 100 101 102 IN the Wind therent PV PVCF FVCF MS + Ready quizlet.com/205834333/finance-test-2-chapter-5... You will retire in 15 years and want to increase your contribution each LAB 3 Kaur LAB_3_Kaur zip TODOS Home Formulas Data Insert Page Layout A X & fx Review View D136 A B D E F G H 1 101 102 Using the built-in Excel Function Wizard: 103 On one of your manu bars is a function () symbol. We can use it to calculate 104 the Present Value of an Annuity 105 106 First put your cursor in the cell where you want the answer 107 Then click the function wizard, find the finance functions on the left column 108 double click on finance, then scroll down until you find PV and double click PV. 109 110 A box will open up. Fill in the inputs Rate> 0.1 111 and click OK Nper 5 112 number of periods 113 Pm Answer: 5758.16 cash flows 114 115 Using the formula directly 116 117 Use the Excel comandat poput 118 119 Try it in this all 120 Use the data from the table above. You can type in the cel dres of the inputs or casier, dick on the cell themselves 121 Your answers should be identical 122 123 124 Part 2. Graph Present Value of assities at different disewustrates 125 126 Fiece 127 As the discountanses, the PV Answeis words) 128 129 The latte is called the discount when we compute PV 130 131 We can see this concept on the phd It has been created for you, but we hoods 132 Fint med all make a Assume ananity of 500 for 5 year. 1040 134 135 136 137 51 118 10 139 Npor 140 141 142 Proper. p. 145 146 Milad Di PVC FVCE MS quizlet.com/205834333/Tinance-test-2-chapter-6... You will retire in 15 years and want to increase your contribution each LAB 3 Kau LAB 3 KISODE el File Edit View Insert Format Tools Data Window Help Formulas Data Review View Insert Page Layout + X & fx B C D E F G H AICI CINCIN COTTUI HOIT DTO Upy I CUTIS DISTIO DIT K L PV of Annuuties at various interest Rates Chart $1 $1 $1 PV of Annuity $1 SO Interest Rates The chant fills in automatically. It is made by the chart function in Excel You can change any of the inputs and the chart will adjust utomatically Note: As intestine, the PV of the annuity decreases sendationship 91 192 14 MS quizlet.com/2058343331
