Question
Special Instructions for this question: Use the factors below to answer this question. A rate of 12%, compounded annually, applies to this question. (Table 1)
Special Instructions for this question:
Use the factors below to answer this question. A rate of 12%, compounded annually, applies to this question.
(Table 1) Future Value Single for 3 period at 12%: 1.405
(Table 2) Future Value Annuity for 3 period at 12%: 3.374
(Table 3) Present Value Single for 3 period at 12%: 0.712
(Table 4) Present Value Annuity for 3 period at 12%: 2.402
1. What amount must be deposited in the bank today to grow to $750 in three years?
| a. $551.47 | ||
| b. $253.05 | ||
| c. $534.00 | ||
| d. $180.15 |
2. A deposit of $200 made at the end of each year for three years would grow to how much?
| a. $480.40 | ||
| b. $674.80 | ||
| c. $142.40 | ||
| d. $281.00 |
3. A deposit of $500 would grow to how much at the end of three years?
| a. $702.50 | ||
| b. $356.00 | ||
| c. $1,201.00 | ||
| d. $1,687.00 |
4. What amount must be deposited in the bank today to be able to withdraw $400 at the end of each year for the next three years?
| a. $284.80 | ||
| b. $562.00 | ||
| c. $1,349.60 | ||
| d. $960.80 |
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Auditing And Assurance Services
Authors: William Messier, Steven Glover, Douglas Prawitt
8th Edition
0078025435, 9780078025433
