Problem

Number

PV

FV

r

n

m

1.

$100

___

.10

1

1

2.

$100

___

.10

2

1

3.

$125

___

.10

1

1

4.

$175

___

.15

20

1

5.

$175

___

.155

5

1

2. What is the future value of $1,000 in 2 years if it is invested at an interest rate of 8%?
3. If you borrowed $10,000 today for 5 years at 9% interest, how much would you have to pay back?
4. You deposit $500 in a 3-year savings certificate at 5% interest. At the end of the second year, the bank increases the interest rate on savings certificates to 6%. What will your initial deposit of $500 be worth in 3 years?