s3 please show steps Find the Present Values or Accumulated Values of the follow
ID: 3010106 • Letter: S
Question
s3
please show steps
Find the Present Values or Accumulated Values of the following payments as of September 30, 2016. Find the accumulated value of $5000 is invested on January 1, 2012 at i^(12)= 5.6%. A payment of $3000 is due on April 1. Find the present value using d= 4.5%. Jane invests $1200 at 8% simple discount on October 1, 2014. Find her accumulated value. Based on d^(4)= 6% find the present value of $10,000 due on September 30, 2020. payments of $100 at t=2 and $200 at t=6 have the same present value as a payment of $300 at t Find t. Thomas buys Canadian T-bills maturing for $10,000 in d days. If Thomas will earn 2.25% simple interest and pays $9852 for the T-bills, find d.Explanation / Answer
a) 5000 invested
yearly rate of interest = 5.6
time of investment = 57 months = 19/4 years
AV = 5000(1+5.6/100)^(19/4) = 6476.9958
ii) payment due after 6 months = 0.5 year
so 5000 = PV *(1+4.5/100)^(0.5) = PV *1.0222
so PV = 5000/1.0222 = 4891.41
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.