Question
QUESTION 1 a. If you deposit $90,000 in a bank account that pays 8% interest annually, how much will be in your account after 7
QUESTION 1
a. If you deposit $90,000 in a bank account that pays 8% interest annually, how much will be in your account after 7 years?
b. What is the present value of a security that will pay $50,000 in 20 years if securities of equal risk pay 9% annually?
QUESTION 2
Ana made an investment that is expected to pay $2500 at the end of each of the next 3 years, $3500 at the end of Year 4, $4000 at the end of Year 5, and $6500 at the end of Year 6. Assume similar investments earn 5% annually.
a. Find the present value of this investment?
b. Find the future value of this investment?
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Introduction To Financial Models For Management And Planning
Authors: James R Morris, John P Daley
2nd Edition
1498765041, 9781498765046
