Please, would you help answer the questions using PV/FV (single sum, ordinary annuity) and any time value money functions in Excel?, This is an Excel assignment, I tried to do it but the answers are not the same when I do the calculation by writing. I would appreciate a lot if you show me the formulas so I can understand how you did it and I would avoid to do the same mistake.

1) Roxette promises to pay you $500 in ten years if you will loan him some money today. You want to earn 10% interest on all investments. What would you be willing to loan him today?

2) Cathy promises to pay you $500 per year at the end of the next 15 years if you will loan her some money today. You want to earn 10% on all investments. What would you be willing to loan her?

3) Cortana promises to pay you $500 per year at the end of the next five years if you will loan her $1800 today. What is the interest rate implied in this offer??

4) Ms. Carmen A. invests $500 in an account today. To what will it grow if invest at 2% compound semiannually for five years??

5) The calculations above highlight the relationship between compounding frequency and future value Given the same annual interest rate, higher compounding interest rates lead to _________ (higher/lower) future.

6) A note from Faust Corp. will mature and pay $10,000 in three years. The note pays no interest (i.e., zero-interest-bearing.) The current market interest rate for similar bond is 2%. What price is this note selling for today??

7) The calculations above highlight the relationship between discounting interest rate and present value Given the same amount of time, higher discounting interest rates lead to _________ (higher/lower) present values.

8) A note from Exhau Corp. will mature and pay $10,000 in three years. The note pays 5% interest in the end of every year. The current market interest rate for similar bond is 4%. What price is this note selling for today?? Use the Method 2 on to answer this question.

9) A note from Exhau Corp. will mature and pay $10,000 in three years. The note pays 5% interest in the end of every year. The current market interest rate for similar bond is 5%. What price is this note selling for today?? Use the Method 3 to answer this question.

10) A note from Exhau Corp. will mature and pay $10,000 in three years. The note pays 5% interest in the end of every year. The current market interest rate for similar bond is 6%. What price is this note selling for today?? Use the Method 4 to answer this question.

HINT : Bigelow Corp. lends Scandinavian Imports $10,000 in exchange for a $10,000, three-year note bearing interest at 10% annually. The market rate of interest for a note of similar risk is also 10%. How does Bigelow record the receipt of the note?

Method 2 Four future cash flows using PV function =PV(0.1,1, 0,-1000)+PV(0.1,2, 0,-1000)+PV(0.1,3, 0,-1000)+PV(0.1,3, 0,-10000) =$10,000 Method 3 One ordinary annuity with one single sum by adding up two PV functions =PV(0.1,3,-1000)+PV(0.1,3,,-10000) =$10,000 Method 4 One ordinary annuity with one single sum by using one PV function =PV(0.1,3,-1000,-10000) =$10,000

11) The calculations above highlight the relationship between face rate and market rate. Given the same amount of time,

* Higher market interest rates lead to _________ (higher/lower) selling price of a bond

* When market rate > face rate, selling price _____ (>,=,<) face value Issuance at ________ (Premium/ Par/ Discount)

* When market rate = face rate, selling price _____ (>,=,<) face value Issuance at ________ (Premium/ Par/ Discount)

* When market rate < face rate, selling price _____ (>,=,<) face value Issuance at ________ (Premium/ Par/ Discount)