Calculate the present value of an investment that is compounded daily
An investment will pay you $45,000 in 6 years. If the appropriate discount rate is 8% compounded daily, what is the present value?
Solve using a spreadsheet.
Solution Summary
The solution presents a spreadsheet with clear explanations of how to use the Excel functions to solve the problem. Then the amounts are given for this problem to be inserted into the functions.
... B. Present value of both the amount have been calculated. ... ember, you are calculating the present value for a ... PV of Principal Repayment= 558 PV=present value, F ...
... Given the above data, calculate the future value in ... Using the formula and also a financial calculator). 4 Future Value Years Interest Rate Present Value $349 10 ...
...Calculate the PV value of the mortgage loan at ...Calculates effective annual rate of interest, monthly payment for a ... be read from tables or calculated using the ...
... 12.What is the present value of $10,000 received 6 ... 2) How to calculate the future value of an investment based on a ... 6. Calculate the future value of $2000 in 5 ...
... 3) An investment will pay you $59,000 in 6 ... discount rate is 9 percent compounded daily, the present... 6) Calculating Present Values In 2001, an athlete signed a ...
... future value figures can either be calculated using a ... formula, the time value tables or the financial calculator. ... 1.Calculate the future value of a lump sum ...
... After calculating the PVIFA, this amount should be multiplied ... hence the payback period would be calculated as follows: ... b) In order to calculate the Net Present...
... 3 11.25 4 10.00 5 9.25 a. Calculate the forward ... This is calculated using a financial calculator, the time ... Using a financial calculator, for an investment to ...
... Savings calculator. ... We can calculate the future accumulated value as follows: Future value = Present value * (1+r)^n Here, present value = $10,000. ...
