Assume that in January 2013, the average house price in a particular area was $293,400. In January 2001, the average price was $210,300.
What was the annual increase in selling price? (Do not round intermediate calculations. Enter your answer as a percent rounded answer to 2 decimal places, e.g., 32.16.)
Annual increase in selling price _______ %
You have just received notification that you have won the $3 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100th birthday (assuming you’re around to collect), 63 years from now.
What is the present value of your windfall if the appropriate discount rate is 10 percent? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)
Present value $ ______________
Your coin collection contains 58 1952 silver dollars. If your grandparents purchased them for their face value when they were new, how much will your collection be worth when you retire in 2068, assuming they appreciate at an annual rate of 4.9 percent? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)
Future value $________
An investment will pay you $47,000 in 11 years. If the appropriate discount rate is 7.4 percent compounded daily, what is the present value? (Use 365 days a year. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Present value $ _______