ACCT 211 Homework Time Value of Money Assignment solutions complete answers
Just put your values given and automatically provide answers for you!
Mike Derr Company expects to earn 12% per year on an investment that will pay $596,000 seven years from now. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.)
Compute the present value of this investment.
On January 1, a company agrees to pay $13,000 in ten years. If the annual interest rate is 7%, determine how much cash the company can borrow with this agreement. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.)
Tom Thompson expects to invest $9,000 at 8% and, at the end of a certain period, receive $38,841. How many years will it be before Thompson receives the payment? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.)
Bill Padley expects to invest $20,000 for 2 years, after which he wants to receive $20,808.00. What rate of interest must Padley earn? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.)
Mark Welsch deposits $6,600 in an account that earns interest at an annual rate of 12%, compounded quarterly. The $6,600 plus earned interest must remain in the account 5 years before it can be withdrawn. How much money will be in the account at the end of 5 years? (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round "Table Factor" to 4 decimal places.)
Spiller Corporation plans to issue 6%, 5-year, $510,000 par value bonds payable that pay interest semiannually on June 30 and December 31. The bonds are dated January 1 of the current year and are issued on that date. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round your "Table value" to 4 decimal places and final answers to nearest whole dollar.)
If the market rate of interest for the bonds is 4% on the date of issue, what will be the total cash proceeds from the bond issue?
