Present Value and Future Value Practice Use the applicable factors from the four tables included here, to answer the questions below. 1. Present Value-Single Table (PVS tab) Present Value-Annuity Table (PVA tab) Future Value-Single Table (FVS tab) Future Value-Annuity Table (FVA tab) Keshia received a one-time bonus of $3,000. She plans to invest it in a CD (certificate of deposit) for 4 years at 5%. How much money will Keshia have at the end of the 4 years? (Round the final result to the nearest dollar.) Use Present or Future Value table Single Payment or Annuity Number of Interest rate interest periods per interest period Payment Present or Factor amount Future Value 2. Anora hit a small lottery that will pay her $2,500 per year for 10 years. Anora plans to deposit her winnings as she receives them, in a savings account earning 6%. How much will Anora have in her savings account at the end of 10 years? 3. Use Present or Future Value table Single Payment or Annuity Number of interest periods Interest rate per interest period Factor Payment amount Present or Future Value Fernando and Simi have a newborn baby and are thinking ahead to college for their child. They estimate that at the end of 18 years, they will need $35,000 to send their child to college. If they can earn 5%, how much would Fernando and Simi have to deposit today, in order to have the $35,000 in 18 years? Use Present or Future Value table Single Payment or Annuity Number of interest Interest rate per interest periods period Factor Payment amount Present or Future Value 4. Fernando and Simi are looking at the result from #3 above and wondering how they are going to come up with so much cash to deposit today. Then, out of the blue, a great, great, great aunt that Simi didn't even know she had, died and left Simi $1,500 per year for 18 years. 1. What is the present value of Simi's inheritance? (Assume 5% interest rate.) 2. What is the future value of Simi's inheritance? (Assume 5% interest rate.) Number of Interest rate Use Present or Future Value table Single Payment or Annuity interest periods per interest period Factor Payment amount Present or Future Value