Solve various time value of money scenarios. (Click the icon to view the scenarios.) (Click the icon to view the present value of $1 table.) (Click the icon to view the future value of $1 table.) (Click the icon to view the present value of annuity of $1 table.) (Click the icon to view the future value of annuity of $1 table.) Scenario 1. Charlie just hit the jackpot in Las Vegas and won $40,0001 If he invests it now at a 10% interest rate, how much will it be worth in 20 years? (Round your answer to the nearest whole dollar) Future value $ Scenarlo 2. Jack would like to have $3,000,000 saved by the time he retires in 30 years. How much does he need to invest now at a 12% Interest rate to fund his retirement goal? (Round your answer to the nearest whole dollar.) X h Present value $ -0 Scenario 3. Assume that Maria accumulates savings of $2 million by the time she retires. If she invests this savings at 12%, how much money will she be able to withdraw at the end of each year for 20 years? (Round your answer to the nearest whole dollar and enter as a positive amount.) Amount able to withdraw = $ Scenario 4. Cathy plans to invest $5,500 at the end of each year for the next eight years. Assuming a 14% interest rate, what will her investment be worth eight years from now? (Round your answer to the nearest whole dollar) ti Future value = $ 5 me Solve various time value of money scenarios (Click the icon to view the scenarios.) (Click the icon to view the present value of $1 table.) (Click the icon to view the future value of $1 table.) nts (Click the icon to view the present value of annuity of $1 table.) (Click the icon to view the future value of annuity of $1 table.) TUDI Value r Tex Sh Scenario 5. Assuming a 10% interest rate, how much would Terri have to invest now to be able to withdraw $10,000 at the end of every year for the next nine years? (Round your answer to the nearest whole dollar) Present value = $ Scenario 6. Nick is considering a capital investment that costs $515,000 and will provide net cash inflows for three years. Using a hurdle rate of 10%, find the NPV of the investment. (Round your answer to the nearest whole dollar. Use parentheses or a minus sign to represent a negative NPV) Net Present Value (NPV) =$ Scenario 7. What is the IRR of the capital investment described in Question 6? The IRR is the interest rate at which the investment NPV = 0. We tried 10% in question 6, now we'll try 12% and calculate the NPV. (Round your answer to the nearest whole dollar. Use parentheses or a minus sign to represent a negative NPV.) Net Present Value (NPV) $ la es Stud cati The IRR for the project is icon to view the present value of annuity of $1 table.) icon to view the future value of annuity of $1 table.) Year Net Cash Inflow est now to b every year for the 1....... 2....... 3...... $306,000 $202,000 $102,000 will provide net cagh inflows for three years. Using a hurdle rate of 10%, lar. Use parentheses are minute inn en ronromant a negative NPV.) Net cash inflows for 3 years 6? in question 6, now we'll try 12% and calculate the NPV. (Round your esent a negative NPV.) Hererence - Periods 1 2 3 4 5 1% 0.990 0.980 0.971 0.961 0.951 2% 0.980 0.961 0.942 0.924 0.906 3% 0.971 0.943 0.915 0.888 0.863 4% 0.962 0.925 0.889 0.855 0.822 14% 0.877 0.769 0.675 0.592 0.519 16% 0.862 0.743 0.641 0.552 0.476 18% 0.847 0.718 0.609 0.516 0.437 ba 6 7 8 9 10 0.888 0.871 0.853 0.837 0.820 0.837 0.813 0.789 0.766 0.744 0.942 0.933 0.923 0.914 0.905 0.896 0.887 0.879 0.870 0.861 late INP Present Value of $1 5% 6% 8% 10% 12% 0.952 0.943 0.926 0.909 0.893 0.907 0.890 0.857 0.826 0.797 0.864 0.840 0.794 0.751 0.712 0.823 0.792 0.735 0.683 0.636 0.784 0.747 0.681 0.621 0.567 0.746 0.705 0.630 0.564 0.507 0.711 0.665 0.583 0.513 0.452 0.677 0.627 0.540 0.467 0.404 0.645 0.592 0.500 0.424 0.361 0.614 0.558 0.463 0.386 0.322 0.585 0.527 0.429 0.350 0.287 0.557 0.497 0.397 0.319 0.257 0.530 0.469 0.368 0.290 0.229 0.505 0.442 0.340 0.263 0.205 0.481 0.417 0.315 0.239 0.183 0.377 0.312 0.215 0.149 0.104 0.295 0.233 0.146 0.092 0.059 0.231 0.174 0.099 0.057 0.033 0.142 0.097 0.046 0.011 0.790 0.760 0.731 0.703 0.676 0.650 0.625 0.601 0.577 0.555 11 12 13 14 15 0.804 0.788 0.773 0.758 0.743 0.673 0.610 0.552 0.453 20% 0.833 0.694 0.579 0.482 0.402 0.335 0.279 0.233 0.194 0.162 0.135 0.112 0.093 0.078 0.065 0.026 0.010 0.004 0.001 0.456 0.400 0.351 0.308 0.270 0.237 0.208 0.182 0.160 0.140 0.073 0.038 0.020 0.005 0.722 0.701 0.681 0.661 0.642 0.410 0.354 0.305 0.263 0.227 0.195 0.168 0.145 0.125 0.108 0.051 0.024 0.012 0.003 0.370 0.314 0.266 0.225 0.191 0.162 0.137 0.116 0.099 0.084 0.037 0.016 0.007 0.001 idy 20 25 30 40 0.820 0.780 0.742 0.672 0.554 0.478 0.412 0.307 0.456 0.375 0.308 0.208 0.022 Print Done Reference Future Value of $1 Periods 2 2% 1.020 1.040 1.061 1.082 1.104 4% 1.040 1.082 1.125 1.170 1.217 1% 1.010 1.020 1.030 1.041 1.051 1.062 1.072 1.083 1.094 1.105 8% 1.080 1.166 1260 1.360 1.469 3% 1.030 1.061 1.093 1.126 1.159 1.194 1.230 1.267 1.305 1.344 10% 1.100 1.210 1.331 1.464 1.611 12% 1.120 1254 1.405 1.574 1.762 3 14% 1.140 1.300 1.482 1.689 1.925 ic e 6% 1.060 1.124 1.191 1.262 1.338 1.419 1.504 1.594 1.689 1.791 16% 1.160 1.346 1.561 1.811 2.100 4 5 P 6 1.126 1.149 1.172 1.195 1219 . 1.265 1.316 1.369 1.423 1.480 5% 1.050 1.103 1.158 1.216 1.276 1.340 1.407 1.477 1.551 1.629 1.710 1.796 1.886 1.980 2.079 2.653 3.386 4.322 7.040 1.772 1.949 2.144 2.358 2.594 10 1.587 1.714 1.851 1.999 2.159 2332 2518 2.720 2.937 3.172 18% 1.180 1.392 1.643 1.939 2.288 2.700 3.185 3.759 4.435 5.234 6.176 7.288 8.599 10.147 11.974 2436 2.826 3.278 3.803 4.411 5.117 5.936 6.886 7.988 9.266 11 12 13 14 15 1.116 1.127 1.138 1.149 1.161 1243 1.268 1.294 1.319 1.346 1.384 1.426 1.469 1.513 1.558 1.539 1.601 1.665 1.732 1.801 1.974 2.211 2.476 2.773 3.10 3.479 3.896 4.363 4.887 5.474 9.646 17.000 29.960 93.051 1.898 2012 2.133 2.261 2.397 2.195 2.502 2.853 3.252 3.707 4.226 4.818 5.492 6.261 7.138 13.743 26.462 50.950 188.884 2.853 3.138 3.452 3.797 4.177 6.727 10.835 17.449 45.259 20 25 30 40 1.220 1.282 1.348 1.489 1486 1.641 1.811 2208 1.806 2.094 2427 3.262 2.191 2.666 3.243 4.801 3.207 4.292 5.743 10.286 4.661 6.848 10.063 21.725 19.461 40.874 85.850 378.721 27.393 62.689 143.371 750 378 Periods 1 2 3 4 12% 0.893 1.690 2.402 3.037 3.605 14% 0.877 1.647 2.322 2.914 3.433 16% 0.862 1.605 2.246 2.798 3.274 3.170 5 6 7 8 9 Present Value of Annuity of $1 1% 2% 3% 4% 5% 6% 8% 10% 0.990 0.980 0.971 0.962 0.952 0.943 0.926 0.909 1.970 1.942 1.913 1.886 1.859 1.833 1.783 1.736 2.941 2.884 2.829 2.775 2.723 2.673 2.577 2.487 3.902 3.808 3.717 3.630 3.546 3.465 3.312 4.853 4.713 4.580 4.452 4.329 4.212 3.993 3.791 5.795 5.601 5.417 5.242 5.076 4.917 4.623 4.355 6.728 6.472 6.230 6.002 5.786 5.582 5.206 4.868 7.652 7.325 7.020 6.733 6.463 6.210 5.747 5.335 8.566 8.162 7.786 7.435 7.108 6.802 6.247 5.759 9.471 8.983 8.530 8.111 7.722 7.360 6.710 6.145 10.368 9.787 9.253 8.760 8.306 7.887 7.139 6.495 11.255 10.575 9.954 9.385 8.863 8.384 7.536 6.814 12.134 11.348 10.635 9.986 9.394 8.853 7.904 7.103 13.004 12.106 11.296 10.563 9.899 9.295 8.244 7.367 13.865 12.849 11.938 11.118 10.380 9.712 8.559 7.606 18.046 16.351 14.877 13.590 12.462 11.470 9.818 8.514 22.023 19.523 17.413 15.622 14.094 12.783 10.675 9.077 25.808 22.396 19.600 17.292 15.372 13.765 11.2589.427 32.835 27.355 23.115 19.793 17.159 15.046 11.925 9.779 4.111 4.564 4.968 5.328 5.650 10 18% 20% 0.847 0.833 1.566 1.528 2.174 2.106 2.690 2.589 3.127 2.991 3.498 3.326 3.812 3.605 4.0783.837 4.303 4.031 4.494 4.192 4.656 4.327 4.793 4.439 4.910 4.533 5.008 4.611 5.092 4.675 5.353 4.870 5.467 4.948 5.517 4.979 5.548 4.997 11 12 13 14 15 3.889 3.685 4.288 4.039 4.639 4.344 4.946 4,607 5.216 4.833 5.453 5.029 5.660 5.197 5.842 5.342 6.002 5.468 6.142 5.575 6.623 5.929 6.873 6.097 7.003 6.177 7.105 6.233 5.938 6.194 6.424 6.628 6.811 20 25 30 40 7.469 7.843 8.055 8.244 Print Done Reference Periods 1 2 3 4 2% 1.000 2.020 3,060 4.122 5.204 12% 1.000 2.120 3.374 4.779 6.353 5 ors 6 OY 7 8 1% 1.000 2.010 3.030 4,060 5.101 6.152 7.214 8.286 9.369 10462 11.567 12583 13.809 14947 16.097 10 icti %. 3% 1.000 2.030 3.091 4.184 5.309 6.468 7.662 8.892 10.159 11.464 12.808 14.192 15.618 17.086 18.599 26.870 36.459 47575 75.401 Future Value of Annuity of $1 5% 6% 8% 10% 1.000 1.000 1.000 1.000 2.050 2.060 2.080 2.100 3.153 3.184 3.246 3.310 4.310 4375 4.506 4.641 5.526 5.637 5.867 6.105 6.802 6.975 7.336 7.716 8.142 8.394 8.923 9.487 9.549 9.897 10.637 11.436 11.027 11.491 13.579 12.578 13.181 14.487 15.937 14.207 14.972 16.845 18.531 15.917 16.870 18.977 21.384 17.713 18.882 21.495 24.523 19.599 21.015 24215 27.975 21.579 23.276 27.152 31.772 33.086 36.786 45.762 57 275 47.727 54.865 73.106 98 347 66.439 79.058 113.283 164.494 120.800 154.762 259.057 442.593 12.488 10 6.308 7.434 8.583 9.755 10.950 12.169 13.412 14.680 15.974 17.293 and 1.000 2.040 3.122 4246 5.416 6.633 7.898 9.214 10.583 12006 13.486 15.026 16.627 18 292 20.024 29.778 41.646 56,085 95.026 14% 16% 18% 1.000 1.000 1.000 2.140 2.160 2.180 3.440 3.506 3.572 4.921 5.066 5.215 6.610 6.877 7.154 8.536 8.977 9.442 10.730 11.414 12.142 13.233 14240 15.327 16.085 17.519 19.086 19.337 21.321 23.521 23.045 25.733 28.755 27.271 30.850 34.931 32.089 36.786 42.219 37.581 43.672 50.818 43.842 51.660 60.965 91.025 115.380 146.628 181.871 249.214 342603 356.787 530.312 790.948 1,342.025 2,360.757 4.163 213 ds ICOS C 8.115 10.089 12.300 14.776 17.549 20.655 24.133 28.029 32 393 37.280 72052 133.334 241.333 767.091 11 12 13 14 15 ars C All 20 25 30 40 22.019 28 243 34.785 48.886 24 297 32030 40.568 60.402 h star Fence 3% 1.000 2.030 3.091 4.184 5.309 4% 1.000 2.040 3.122 4.246 5.416 12% 1.000 2.120 3.374 4.779 6.353 14% 1.000 2.140 3.440 4.921 6.610 2% -1.000 2.020 3.060 4.122 5.204 6.308 7.434 8.583 9.755 10.950 18% 1.000 2.180 3.572 5.215 7.154 20% 1.000 2.200 3.640 5.368 7.442 16% 1.000 2.160 3.506 5.066 6.877 8.977 11.414 14.240 17.519 21.321 8.536 10.730 13.233 16.085 19.337 Future Value of Annuity of $1 5% 6% 8% 10% 1.000 1.000 1.000 1.000 2.050 2.060 2.080 2.100 3.153 3.184 3.246 3.310 4.310 4.375 4.506 4.641 5.526 5.637 5.867 6.105 6.802 6.975 7.336 7.716 8.142 8.394 8.923 9.487 9.549 9.897 10.637 11.436 11.027 11.491 12.488 13.579 12.578 13.181 14.487 15.937 14.207 14.972 16.645 18.531 15.917 16.870 18.977 21.384 17.713 18.882 21.495 24.523 19.599 21.015 24.215 27.975 21.579 23.276 27.152 31.772 33.066 36.786 45.762 57 275 47.727 54.865 73.106 98.347 66.439 79.058 113.283 164.494 120.800 154.762 259.057 442.593 9.442 12.142 15.327 19.086 23.521 % 6.468 7.662 8.892 10.159 11.464 12.808 14.192 15.618 17.086 18.599 26.870 36.459 47.575 75.401 6.633 7.898 9.214 10.583 12.006 13.486 15.026 16.627 18.292 20.024 29.778 41.646 56.085 95.026 8.115 10.089 12.300 14.776 17.549 20.655 24.133 28.029 32.393 37.280 12.169 13.412 14.680 15.974 17.293 9.930 12.916 16.499 20.799 25.959 32.150 39.581 48.497 59.196 72.035 23.045 27.271 32,089 37.581 43.842 25.733 30.850 36.786 43.672 51.660 28.755 34.931 42.219 50.818 60.965 24.297 32.030 40.568 60.402 72.052 133.334 241.333 767.091 91.025 115.380 146.628 186.688 181.871 249.214 342.603 471.981 356.787 530.312 790.948 1.181.882 1,342.025 2,360.757 4,163.213 7,343.858 Print Done