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    Finding the missing values

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    A1. (PV and FV of single payments) Fill in the missing information:
    PV FV r n
    a. - 20 10% 10
    b. 10 - 10% 10
    c. 10 20 - 10
    d. 10 20 10% -

    A2. (PV and FV of single payments) Fill in the missing information:
    PV FV r n
    a. - 20 10% 15
    b. 10 - 10% 15
    c. 10 20 - 15
    d. 15 20 10% -

    A3. (PV and FV of single payments) Fill in the missing information:
    PV FV r n
    a. - 22,000 5.6% 3.0
    b. 1,000 - 12.1% 5.5
    c. 400 400 - 4.0
    d. 25,000 50,000 7.75% -

    A11. (Calculating the PV and FV of an annuity) Assume an ordinary annuity of $500 at the end
    of each of the next three years.
    a. What is the present value discounted at 10%?
    b. What is the future value at the end of year 3 if cash flows can be invested at 10%?

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    https://brainmass.com/business/the-time-value-of-money/finding-the-missing-values-375908

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    A1. (PV and FV of single payments) Fill in the missing information:
    a.
    PV=FV/(1+r)^n=20/(1+10%)^10=7.71

    b.
    FV=PV*(1+r)^n=10*(1+10%)^10=25.94

    c.
    r=(FV/PV)^(1/n)-1=(20/10)^(1/10)-1=7.18%

    d.

    FV=PV*(1+r)^n
    20=10*(1+10%)^n
    2=(1.1)^n
    Taking Ln both sides
    Ln2=nLn(1.1)
    n=Ln(2)/Ln(1.1)=7.27

    A2. (PV and ...

    Solution Summary

    Solution depicts the steps to find out the value of desired parameter in each case.

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