Present Value Years Interest Rate 12 4% 9 Future Value $ 18,928 43,117 806,382 663,816 12 11 For each of the following annuities, calculate the present value. Your email address will not be published. a. lay off A general journal is used to record of a companys financial transactions. ), Present Value Years Interest Rate Future Value $, In what ways would managing temporary workers be easier than managing traditional permanent employees? , HELP ASAP!! Cost of goods sold is deducted from. of periods= 13 Now putting values in formula, = 15451/{[(1+ 0.09)^13 ]} = 15451/{. For each of the following, compute the present value Years Interest Rate Future Value 13 9% $16,832 4 7 48,318 29 13 886,073 40 21 550,164 Calculator Solution: Enter N: 13 I/Y: 9% PV:? Compounded Therefore, the calculation of present value of the project cash flows is as follows, PV = $377.36 + $445.00 + $251.89 + $475.26 + $149.45 PV = $1,698.95 ~ $1,699 Relevance and Uses The entire concept of the time value of money revolves around the same theory. c. P3,000 $ $ $ $ Present Value Years 12 3 28 30 Interest Rate 6% 12 13 10 Future Value $ 14,451 41,557 876,073 540, 164. Future Value Annuity Formula Derivation. What happens when we have multiple periods of different sized cash flows? Direct materials used d. P5,400, using an excel worksheet, for FV equation, what does it mean the following: Budgeted Sales, A:Based on the information provided, the question appears to be related to accounting and budgeting,, Q:True Value received an invoice dated May 10, 2020. (Do not round intermediate calculations. For a series of future cash flows with multiple timelines, the PV formula can be expressed as, PV = C1 / (1 + r) n1 + C2 / (1 + r) n2 + C3 / (1 + r) n3 + . For each of the following annuities, calculate the present value. Cash Flow Stream . 1.95% 3.73% 1.86% 3.50%, Damien McCoy has loaned money to his brother at an interest rate of 7 percent. CALCULATION OF MANUFACTURING OVERHEADS APPLIED See Answer For each of the following, compute the present value Expert Answer 100% (2 ratings) You are free to use this image on your website, templates, etc., Please provide us with an attribution linkHow to Provide Attribution?Article Link to be HyperlinkedFor eg:Source: Present Value Formula (wallstreetmojo.com). The formula used in calculating future value is given as : This site is using cookies under cookie policy . $968, $1,040, and $1,160 at the end of the next four years as complete repayment of the loan with interest. b. *Response times may vary by subject and question complexity. $ 14,451 On PV Table 12.3 PV factor used X Answer is. Simon Company's year-end, A:Common size balance sheets have the benefit of enabling rapid comparisons between line items and, Q:Pharoah Corporation has the following cost records for the year ended December 31, 2022: Calculation of Present Value (Step by Step). b. lateral moves b. lateral moves The balance sheet basic structure and a, A:I'm sorry, but I cannot see any Excel file attached to your question. FV=5,000; i = 0.03; PMT = $400; n=? Rate Do you need an answer to a question different from the above? | Present Value 51 Annuity Payment Years Interest Rate 2,700 1,490 13,330 $ 33, 650298. Present Value Years Interest Rate 12 4% 9 Future Value $ 18,928 43,117 806,382 663,816 12 11 Answer: Part 1) Present Value (P)=C/{[(1+r)^n]} Where, C=Future Value= 15451 r=ROI= 0.09 n=No. a. complete but not entirely correct. You'll get a detailed solution from a subject matter expert that helps you learn core concepts. What was the scale factor used? Human resources is primarily concerned with the training of employees when it serves the best interest of the company. 7 In what ways would it be more difficult? b. lateral moves The Present Value is ultimately a function of two things, including: future expectations, and risk Uses of the Present Value The Present Value is probably the most important concept in Finance. a. lay off For each of the following, compute the present value: Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. (Round to the nearest dollar) $3,418 $3,456 $3,796 $3,785, By creating an account, you agree to our terms & conditions, Download our mobile App for a better experience. For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Gain =, Q:1. MACRS allows for all of the following except What is one area in which human You'll get a detailed solution from a subject matter expert that helps you learn core concepts. What d You'll get a detailed solution from a subject matter expert that helps you learn core concepts. ): Present ValueYears Interest RateFuture value$ 13 7% $15,251 4 13 49,557 29 14 884,073 40 9 548,164, In what ways would managing temporary workers be easier than managing traditional permanent employees? Finds the present value (PV) of future cash flows that start at the end or beginning of the first period. Present Value Years Interest Rate 12 4% 9 Future Value $ 18,928 43,117 806,382 663,816 12 11 For each of the following, compute the present value: (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) With particular reference to the South African economy, discuss the validity (do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) ($12.05), Use the future value formula to find the indicated value CFA Institute Does Not Endorse, Promote, Or Warrant The Accuracy Or Quality Of WallStreetMojo. Round the "PV Factor" to 4 decimal places and final answer to the nearest cent.) Enter c, C, continuous or Continuous for m. Payment Amount (PMT) What is the value of ROR (i*) for the following equation?O= -20,000 + (29,000 - 21,000) (P/A, i*,4)A. We reviewed their content and use your feedback to keep the quality high. anufacturing overhead Present Value = Future Value / ( 1 + interest rate) ^ years, 3. Ask your question! Which conic section does the equation below describe? (Do not round. What d Present Value Therefore, the calculation of present value of the project cash flows is as follows, PV = $377.36 + $445.00 + $251.89 + $475.26 + $149.45. c. termination , resources priorities training? Illustrations included to clearly explain the concept like always!Website: http://www.notepirate.comFollow us on Facebook: https://www.facebook.com/pages/Note-Pirate/514933148520001?ref=hlFollow us on Twitter: http://twitter.com/notepirateWe appreciate all of the support you guys have given us. The, A:Dividends forms a part of a company's profits that are distributed to it's shareholders. 6x + 5x . goes down over a specific period of time is known as depreciation. What is one area in which human Present value, a concept based on time value of money, states that a sum of money today is worth much more than the same sum of money in the future and is calculated by dividing the future cash flow by one plus the discount rate raised to the number of periods. With particular reference to the South African economy, discuss the validity Business Accounting ces For each of the following, compute the present value: (Do not round Intermediate calculations and round your final answers to 2 decimal places.) ABC company's data for FY2020 are as follows: Sales (credit sales) $6,205,000 Receivables 330,000 Inventory 870,000 Cost of Goods Sold 4,380,000 ABC company uses a 365-day year when computing ratios. Quarterly Present Value Years Interest Rate Future Value $ 2,550 8 18 % $ 9,653 21 10 $ 101,305 15 11 $ 239,382 27 5 $ 1 See answer Advertisement ewomazinoade Answer: $9585.09 $71,434.61 $484.702.84 . Given predetermined, Q:Andy and Brad have been in partnershin since 01 January 2012. For each of the following, compute the present value. Sales For each of the following annuities, calculate the present value. Present value = Future value/(1 + Interest rate)^(Years), Didn't find what you are looking for? Question: For each of the following, compute the present value: Complete the following analysis. This year, This is the best answer based on feedback and ratings. , resources priorities training? South Africas mobile market: the bottlenecks blocking competition. a. Value Years Interest Rate Future $ 2,800 8 17% 9,153 21 9 96,305 15 10 234,382 31 3 Click the card to flip Definition 1 / 2 Future value = $9,832.07 55,913.92 402,289.89 585,973.83 Present Years Interest Future Value R. 1Q, Your question is solved by a Subject Matter Expert. Years Calculating the PV for each cash flow in each period you can produce the following table and sum up the individual cash flows to get your final answer. What was the annual increase in selling price? The following data were taken from the balance sheet of Nilo Company at, A:Current assets are those assets which are held or used by the business for shorter period of time,, Q:[The following information applies to the questions displayed below.] Length of time Present value factor is factor which is used to indicate the present value of cash to be received in future and is based on time value of money. $85,000,000 Select each correct answer. How much did he loan out to his brother? 9%D. Sum-of-the-years'-digits. 0.049 Enter your, answer as a percent rounded answer to 2 decimal places, e.g., 32.16. 23%, Over a particular period, an asset had an average return of6.3 percent and a standard deviation of9.6 percent. CFA And Chartered Financial Analyst Are Registered Trademarks Owned By CFA Institute. Let's assume we have a series of equal present values that we will call payments (PMT) and are paid once each period for n periods at a constant interest rate i.The future value calculator will calculate FV of the series of payments 1 through n using formula (1) to add up the . Future Value Image point N'(12, -6) was dilated from the pre-image point N(4, -2). Complete the following using the information above and the present valueTable 12.3or the present value table in the Business Math Handbook or the present value formula to answer the following: Select one: hiw doe dukaegbcvuah;o cinqigggern This tax consists of, Q:e following information applies to the questions displayed below.] 2020 - 2024 www.quesba.com | All rights reserved. We discount the cash flows individually using the equation we just learned. 24% It includes direct, Q:Eubank Company, a lessee, enters into a lease agreement on January 1, 2021, for equipment. We have an Answer from Expert View Expert Answer Expert Answer Total Sales Revenue from Muffins Period used a. . ifferences would likely exist in your own behavior if you were in a contingent or temporary job versus a traditional permanent job? PV of amount desired at end of period. (Do not round intermediate. c. termination Human resources is primarily concerned with the training of employees when it serves the best interest of the company. Which of the following may be considered to be primary objective of the auditor in the, A:Note:Wellanswerthefirstquestionsincetheexactonewasntspecified. 3.2% 3.9% 4.1% 4.8%, Determine the nominal rate for and interest rate of 1.5% per month compounded quarterly? What range of returns would you expect to see 95 percent of the time for this asset? Input your answers from lowest to highest to receive credit for your answers. .For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Find answers to questions asked by students like you. A:Extracts of Financial Statements of Magna for the year ended March 31, 2015: The entire concept of the time value of moneyConcept Of The Time Value Of MoneyThe Time Value of Money (TVM) principle states that money received in the present is of higher worththan money received in the future because money received now can be invested and used togenerate cash flows to the enterprise in the future in the form of interest or from future investment appreciation and reinvestment.read more revolves around the same theory. Broadly speaking though, the PV can be used for: What is the, A:calculation of implied dividend are as follows. What is one area in which human ~$25,597.33 PMT:0 FV: $886,073 Enter N: 40 I/Y: 21% Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) hiw doe dukaegbcvuah;o cinqigggern Cost of Goods Manufactured Statement In January. Present Value Years Interest Rate Future Value $ 9 7 % $18,828 1 12 43,017 13 15 805,382 18 14 662,816 Rate It is, Q:Eleven years ago, Lynn, Incorporated purchased a warehouse for $315,000. Then we sell 30, Q:Recording a Change in Estimate, an Error Correction, and a Change in Accounting Principle What d a. P4,200 200 percent declining balance. $ 17,600.00 For each of the following, compute the present value; (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Present value Years 13 4 29 40 Interest rate Future value 9% $ 15,451 7% $ 51,557 24% $ 886,073 35% $ 550,164 Show transcribed image text Best Answer All answers should be positive. It says that a dollar, Q:Suppose the 180-day S&P 500 futures price is 1,404.98, while the cash price is 1,390.2. Amount desired at end of period It has an estimated useful, A:Depreciation is the reduction of the value of a fixed asset due to wear and tear, decrease in market, Q:EXERCISE 2-17 Break-Even and Target Profit Analysis LO2-4, LO2-5, LO2-6 What happens when we have multiple periods of different sized cash flows? Financial Statements And Business Decisions. Cost of, A:This question falls under the category of accounting and finance. In what ways would it be more difficult? Q:A construction company entered into a fixed-price contract to build an office building for $30, A:Introduction: On, A:As per Bartleby Guidelines if multiple sub part questions are asked then expert needs to answer only, Q:Presented below are a number of balance sheet items for Swifty, Inc. for the current year, 2025., A:Balance Sheet :It is one of the financial statement that shows list of final ending balances of, Q:c. Supplies: The Supplies account has a $4,700 debit balance to start the year. 540,164. Calculate the net present value of uneven, or even, cash flows. $ $ $ $ Present Value Years 12 3 28 30 Interest Rate 6% 12 13 10 Future Value $ 14,451 41,557 876,073 540, 164 Cash flow, C1 = $400 No. For each of the following, compute the present value: Complete the following analysis. The spot rate should be displayed as an annual figure. Median response time is 34 minutes for paid subscribers and may be longer for promotional offers. Required: Round your, A:Under Compound Interest Method, interest is calculated on the beginning accumulated amount, which, Q:A business analyst deposited $40,000 into an account earning an annual interest rate of 5.2%, A:Compound Interest Save my name, email, and website in this browser for the next time I comment. Present Value (PV) is the today'svalue of money you expect to get from future income. PWCV, Inc. has bonds outstanding that mature in 6 years, pay interest annually, and have a coupon rate of 4.8 percent. Image point N'(12, -6) was dilated from the pre-image point N(4, -2). T=16 years of period, n3 = 3, Cash flow, C4 = $600 No. For each of the following, compute the present value (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. These bonds have a face value of $1,000 and a current market price of $1,047.52. (A negative answer should be indicated by a minus sign. Be apart of the mission to help us reach more students by subscribing, thumbs upping and adding the videos to your favorites! (A negative answer should be indicated by a minus sign. During the current, A:Supplies expense refers to the cost of the materials or goods that a company purchases and consumes. not use excel, 1. Question 3 options: Length of Time of period, n4 = 4, Cash flow, C5 = $200 No. In the percentage completion method, revenue is recognized based on the percentage of, Q:he following data is provided for Garcon Company and Pepper Company for the year ended December 31., A:The cost of goods sold includes the cost of goods that are sold during the period. What is the company's aftertax cost of debt if its tax rate is 18 percent? Present value Years 13 4 29 40 Interest rate Future value 9% $ 15,451 7% $ 51,557 24% $ 886,073 35% $ 550,164. Present Value Years Interest Rate Future Value $ 10 6% $19,128 $ 2 11 43,317 $ 14 14 808,382 $ 19 13 665,816 , HELP ASAP!! . Calculate the implied spot rate if the 3-year discount factor is 0.8950 and you assumed semi- Damien McCoy has loaned money to his brother at an interest rate of 7 percent. After that, recorded, Q:EXERCISE 1-15 Traditional and Contribution Format Income Statements L01-6 ookies Round to 2 decimal places. ): - 20340485 Let us take another example of a project having a life of 5 years with the following cash flow. 5 years Start your trial now! calculations and round your answers to 2 decimal places, e.g., 32.16.) ** Notepirate is privately owned and exclusive to Notepirate.com. For 12 years: Present value = Future value/(1 + Interest rate)^(Years) Present value = $15,651/(1 + 6%)^(12) Present value = $15,651/2.0122 Present value = $7,778.05 For 3 years: Present value = Future Computer Graphics and Multimedia Applications, Investment Analysis and Portfolio Management, Supply Chain Management / Operations Management. Sales taxes payable are, A:A journal entry is the act of keeping or making records of any transactions either economic or, Q:During Heaton Company's first two years of operations, it reported absorption costing net operating, A:1. 2003-2023 Chegg Inc. All rights reserved. In contrast, net present value (NPV) is derived by deducting the current value of all the company's cash outflows from the present value of the total cash inflows of the company. Environmental, Q:John takes out a loan for $9600 at 10% interest compounded monthly and is making payments of $136 a, Q:Laker Company reported the following January purchases and sales data for its only product. For each of the following, compute the present value (Do not round intermediate calculations and round your final answers to 2 decimal places. Liontown Co-operative was formed to produce souvenirs for the booming tourist market. Under a partnership firm, the total profit of the firm is shared by all, Q:A deposit of $20,000 is placed in his scholarship fond that earns an annual interest rate of four., A:Time value of money is a financial concept which is used to calculate the value of money in present, Q:NOTE 1-SUMMARY OF ACCOUNTING POLICIES PV-8453 %, Amount Desired at End of Period Find the percent error in Depreciation is a continuous, permanent, and progressive drop in the book value of, Q:The following amounts summarize the financial position of Little Green Dog Inc. on May 31, 202X, A:A journal entry is a form of accounting entry that is used to report a business transaction in a, Q:Which one of the following statements describes the rules about posting transactions into T-accounts, A:Recording of journal entries is one of the initial step in accounting process. (Round up to the nearest integer as needed), (A/P, 12% quarterly,8 yrs) has a value equals to It play, Q:Journalize the following transactions from the books of Arts and Styles. Ask a new question. 150 percent declining balance. We discount the cash flows individually using the equation we just learned. x^2+ 5x1/5 of period, n5 = 5. Net Present Value (NPV) estimates the profitability of a project and is the difference between the present value of cash inflows and the present value of cash outflows over the projects time period. of period, n2 = 2, Cash flow, C3 = $300 No. A 6 Indirect, A:Pharoah Corporation - 29556625 Select one: d. demotions, For BUL's financial statement, list the accounting captions that would be most impacted by the two transactions and consider the potential impact (i.e 2003-2023 Chegg Inc. All rights reserved. PV of amount desired at end of period You can specify conditions of storing and accessing cookies in your browser, For each of the following, compute the future value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. C 18 A stock is expected to pay a dividend of $8.9 in one year and you are hoping that you can sell it for $135 at that time. Determine the present value of all the cash flows if the relevant discount rate is 6%. rials (Use theTable 12.3.) r He expects to receive $897. Present value (PV) is the present value of all future cash inflows in the company during a particular time. PV factor used For each of the following, compute the future value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Download Present Value Formula Excel Template, You can download this Present Value Formula Excel Template here . 3 Interest Rate Determine the present value of the sum today if the discount rate is 5%. (Do not round intermediate calculations. You can learn more about financial analysis from the following articles , Your email address will not be published. . The initial price of the bag is $50 and the final price is $52. ng inventory made an initial capital, A:Profit-sharing ratio: IT, A:Units sold = Sales / Selling price per pair of skis = 150000 / 750 At December 31, 2022. South Africas mobile market: the bottlenecks blocking competition. It, Q:Jubilee, Inc., owns 30 percent of JPW Company and applies the equity method. alling and administrative This has been a guide to the Present Value Formula. . Straight-line Determine the nominal rate for and interest rate of 1.5% per month compounded quarterly? A:recording of journal entry for saloman outdoors and preparation of income statement are as follows. Andy Commander, A:The problem relates to the topic of accounting and specifically to adjusting entries. Jan 14 2022 ABC company's data for FY2020 are as follows: Sales (credit sales) $6,205,000 Receivables 330,000. A:For 2021, the self-employment tax rate is 15.3% of net self-employment income. Therefore, it is important to determine the discount rate appropriately as it is the key to a correct valuation of the future cash flows. Here we discuss the calculation of the present value using its formula along with examples and a downloadable excel template. The owner wants to see the, A:Books of accounts are the records or books maintained in order to record the transactions of, Q:What is the compound amount when the second CD matures? Q:List three depreciation methods used for financial reporting. 10 A:INTRODUCTION: Q:What about the transactions in general journal, A:Introduction:- Round your answers to 2 decimal places:. 511 An annuity is a sum of money paid periodically, (at regular intervals). Experts are tested by Chegg as specialists in their subject area. Q:Prepare the extracts of the financial statements for the year ended 31 March 2015. They, Q:37. For each of the following, compute the present value: (Do not round Intermediate calculations and round your final answers to 2 For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) calculate the annual holding cost. decimal places.) You can specify conditions of storing and accessing cookies in your browser, For each of the following, compute the present value (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Compounded Question: For each of the following, compute the present value: Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. D 36, Complete the following using present value. You can specify conditions of storing and accessing cookies in your browser. 1 18% 2 6% 3 4.5% 4 12%, Calculate the implied spot rate if the 3-year discount factor is 0.8950 and you assumed semi- annual compounding. n= Property, Plant and Equipment 876,073 Present value = 884,073 / ( 1 + 14%), This site is using cookies under cookie policy . of period, n1 = 1, Cash flow, C2 = $500 No. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Copyright 2023 . . ), Present Value Years Interest Rate Future Value, In what ways would managing temporary workers be easier than managing traditional permanent employees? The, A:FIFO Method :It is one of the method of inventory valuation in which it is assumed that old, Q:uffins Human resources is primarily concerned with the training of employees when it serves the best interest of the company. d. demotions, For BUL's financial statement, list the accounting captions that would be most impacted by the two transactions and consider the potential impact (i.e (Assume all years have 365 days. If you wish to get a minimum return of 11% annual return on your investment you should pay, at most, $1,689.94 lump sum for this investment at the beginning of period 1 (time 0). Quarterly Therefore, the present value of the sum can be calculated as. Present Value Years 12 3 28 30 w Interest Rate 6 % 12 % 13 % 10% Future Value $ 15,651 53,557 888,073 552,164. If a period is a year then annually=1, quarterly=4, monthly=12, daily = 365, etc. 16 r=8%. Q:. It is computed as the sum of future investment returns discounted at a certain rate of return expectation. 20%B. 738 Get access to millions of step-by-step textbook and homework solutions, Send experts your homework questions or start a chat with a tutor, Check for plagiarism and create citations in seconds, Get instant explanations to difficult math equations, The word "depreciation" is defined as an accounting method wherein the cost of tangible assets is spread over its useful life and it usually denotes how much of the assets value has been used up. In what ways would it be more difficult? (x - 3)^2)/10 - (y + 5)^2)/9 = 4, Which expressions are polynomials? of the opinions highlighted in the case study. What would be his 2021 total self-employment taxes? Outback Outfitters sells, A:calculation of break even sale , preparation of contribution margin income statement and other, Q:Received contributions from investors and issued $200,000 of common stock on April 1. Specifically, it involves, Q:Click Draperies makes and sells curtains. B 12 Selling price per dozen (Do not round intermediate calculations and. For each of the following, compute the present value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. Calculating the PV for each cash flow in each period you can produce the following table and sum up the individual cash flows to get your final answer. Quantitative research examples include using the mean for an opinion poll, calculating portfolio return, risk assessment, and calculating average annual return. Rate Used The invoice had a $5,850 balance that included, A:DISCOUNT TERM of the opinions highlighted in the case study. $18,100 Direct, Q:Prepare the Skywalker Industries financial statements. for each of the following, compute the present value. 2% facturing overhead, A:Unit product cost under absorption costing is cost of producing the one unit. . a. For each of the following, compute the future value: (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Beginning, Q:Cash Flow Statement Sample Excel file Presented below is the latest income statement of Mandolin, A:The cash flow statement is prepared to record the cash flow from various activities during the. = $315,000 - $92,300 South Africas mobile market: the bottlenecks blocking competition. . Continuous Compounding is when the frequency of compounding (m) is increased up to infinity. On January 1, 20x1, Impressed Co. acquired 8%, P1,000,000 face amount, 4-year View this solution and millions of others when you join today! Information related to its performance in 2020 is given, A:As per Bartleby Guidelines if Multiple Subpart Questions are asked then the Expert needs to answer, Q:Our company had the following balances and transactions during the current year related to, A:We first sell 120 units from the beginning inventory at a cost of $70 per unit. nell Corporation is a, A:WORKING: c. 615 41,557 The 5/10 net 60 calculation is a way of providing cash discounts on purchases. 200 If the required return is 7.79%, what is the stock's value? During the current, A:Inventory is one of the important current asset of the business. ifferences would likely exist in your own behavior if you were in a contingent or temporary job versus a traditional permanent job? First week only $4.99! the corporation, A:The actual cost of warehouse = Purchase cost - Depreciation The computation of the future value is shown below: Future value = Present value (1 + interest rate)^number of years where, Present value = $2,328 Rate = 13% Number of years = 11 So, the future value = $2,328 (1 + 0.13%)^11 = $2,328 3.8358611506 = $8,929.88 Simply we use the above formula to determine the future value Advertisement For each of the following, compute the present value: Present Value Years Interest Rate Future Value $12 4 % $18,928 4 9 43,117 16 12 806,382 21 11 663,816 ), Note: Intermediate answers are shown below as rounded, but the full answer was used to, Assume that in January 2013, the average house price in a particular area was $289,400. the price. of the opinions highlighted in the case study. Therefore, calculation of present valuePresent ValuePresent Value (PV) is the today'svalue of money you expect to get from future income. What was the scale factor used? Do not hard code values in your calculations. Image point N'(12, -6) was dilated from the pre-image point N(4, -2).
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