Due at 6pm pacific time on 6/18/2017

    Question 1
    After placing $8000 in a savings account paying annual compound interest of 8% calculate the amount that will accumulate if it is left for 8 years?
    Question 2
    What is the future value of $500 a year for 9 years compounded annually at 10%? What is the future value of $900 for nine years compounded annually at 10%?
    Question 3
    What is the present value of a perpetual stream of cash flow that pays $80000 at the end of one year and grows at a rate of 5% indefinitely? The rate of interest used to discount the cash flows is 10%. What is the present value of the growing perpetuity?
    Question 4
    To pay for your education you have taken out $28000 in student loans. If you make monthly payments over 13 years at 5% compounded monthly how much are your monthly student loan payments?
    Question 5
    How much do you have to deposit today so that beginning 11 years from now you can withdraw $9000 a year for the next 8 years (periods 11 through 18) plus an additional amount of $18000 in the last year (period 18)? Assume an interest rate of 6%.

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