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Solve all three parts, the needed values are in the bottom right hand corner The following cash flows are all end-of-period values. 200 300 1
Solve all three parts, the needed values are in the bottom right hand corner
The following cash flows are all end-of-period values. 200 300 1 300 2 300 3 400 4 400 5 400 6 500 . . 500 10 Use a 12% nominal interest rate compounded annually to determine the economically equivalent present value, "P," of the payments at time zero, the economically equivalent future value, "F," of the payments at the end of year 10, and the equivalent annual series of end-of-period payments, "A," in years 1-10. FIO =Z + goo = 100 t0//AN A1-10 = g 00 n 1 2 3 4 5 4500 i = 12.00% F/Pi,n 1.1200 1.4049 1.5735 1.7623 P/Fi,n 0.8929 0.7972 0.7118 0.6355 0.5674 F/ Ai,n 1.0000 2.1200 3.3744 4.7793 6.3528 A/Fi,n 1.00000 0.47170 0.29635 0.20923 o. 15741 A/Pi,n 1.12000 0.59170 0.41635 0.32923 0.27741 P/Ai,n 0.8929 1.6901 2.4018 3.0373 3.6048
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