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- =15000*1.06^5=20073.38366
- 2.
- =400000*5%/(1-1/1.05^20)=32097.03488
- 3.
- =5000/(9%/12)*(1-1/(1+9%/12)^(12*25))=595808.1108
- 4.
- =500/(6%/12)*(1-1/(1+6%/12)^(12*35))*(1+6%/12)*(1+6%/12)^(12*35)=715916.9251
- 5.
- =100000/8%=1250000
- 6.
- =1500/(8%/12)*(1-1/(1+8%/12)^(12*15))*1/(1+8%/12)^(12*20)=31858.56945
- 7.
- =15000/1.08^1+15750/1.08^2+16550/1.08^3+17700/1.08^4=53539.92729
- 8.
- =(1+8%/12)^12-1=8.3000%
- 9.
- b. An annuity due has payments at the beginning of each period which continue for a fixed period of time.
- 10.
- Discounting
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