Find the interest rate implied by the following combination of present and future values:
Present Value=400, Future Value=684, Years=11
Present Value=183, Future Value=249, Years=4
Present Value=300, Future Value=300, Years=7
Please show work. Thanks!© BrainMass Inc. brainmass.com March 4, 2021, 6:22 pm ad1c9bdddf
You can solve these questions by getting the present value factor and then looking up the factor in the PVIF table under the given number of years.
The solution explains how to calculate interest rates, given the present value, future value and the time period.