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Round answers to the nearest whole number. (a) The future value in two years of $3,000 deposited today in a savings account with interest compounded
Round answers to the nearest whole number. (a) The future value in two years of $3,000 deposited today in a savings account with interest compounded annually at 4 percent. (b) The present value of $8,000 to be received in four years, discounted at 8 percent. (c) The present value of an annuity of $3,000 per year for four years discounted at 16 percent. (d) An initial investment of $37,260 is to be returned in eight equal annual payments. Determine the amount of each payment if the interest rate is 6 percent. (e) A proposed investment will provide cash flows of $50,000,$8,000, and $5,000 at the end of Years 1, 2, and 3, respectively. Using a discount rate of 16 percent, determine the present value of these cash flows. Year 1$ Year 2$ Year 3$ (f) Find the present value of an investment that will pay $9,000 at the end of Years 10,11 , and 12 . Use a discount rate of 10 percent
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