Finance
Click here to get an A+ paper at a Discount
Each answer should be 200 words per question with references:
1. Future value of annuity problem
You deposit $5,000 into a retirement account at the end of the next 15 years earning 8% interest, what is the future value of your retirement after 15 years?
2. Present value of single sum problem
You are going to be given $100,000 in 12 years. Assuming an inflation rate of 3.5%, what is the present value of this amount?
3. Present value of annuity problem
You will receive $1,200 at the end of the next 15 years, assuming a 8% discount rate, what is the present value of the cash flows?
4. Present value of annuity problem
You will receive $1,000 at the end of the next 10 years, assuming a 7% discount rate, what is the present value of the cash flows?
5. Perpetuity problem
What is the value of perpetuity with an annual payment of $50 and a discount rate of 4%?
