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- You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityWhat is the present value of $10,000 to be received two years from today assuming an annual interest rate of 24% and monthly compounding?What is the future value of $400 deposited for one year earning an interest rate of 9 percent per year?
- What is the future value of $8,000 a year for 40 years at 11.8 percent interest, compounded annually?What is the equivalent present value of the following series of payments: $10,000 the first year, $11,000 the second year, and $12,000 the third year? Consider 4% interest, compounded annually.What is the present value of $5,000 paid at the end of each of the next 89 years if the interest rate is 6% per year?
- What is the value today of receiving $4, 500 at the end of each year for the next 6 years, assuming an interest rate of 9% compounded annually?What is the present value of a perpetuity paying $1500 each year, if the effective annual interest rate is a constant 12.68% per year?What is the present value of annual payments of $2,000 for 12 years at 1 percent?
- At what annual interest rate, compounded annually, must $520 be invested for it to grow to $1,908.44 in 10 years?What is the future value in 12 years of $1,000 payments received at the beginning of each year for the next 10 years? Assume an interest rate of 5%What is the present value of $4,000 paid each year forever, assuming a discount rate of 7% and the first payment occurs one year from now?
