Problem 1: The future value of $200 received today and deposited for three years in an account which pays semiannual interest of 8 percent is ______.
A. $253.00
B. $252.00
C. $158.00
D. $134.66
Problem 2: The future value of $100 received today and deposited at 6 percent for four years is
A. $126.
B. $ 79.
C. $124.
D. $116.
Problem 3: Calculate the present value of the annuity assuming that it is an ordinary annuity.
Case Amount of Annuity Interest Rate Period/Years
A $14,000 9% 3
B $17,500 13% 15
C $975 18% 7
D $1,127,000 4% 9
E $10,000 7% 3
Problem 4: For each of the cases shown below in the table, calculate the present value of the cash flow:
Case Single Cash Flow Interest Rate End of Periods / Years
A $13,000 10% 5
B $34,000 17% 25
C $16,000 6% 18
D $210,000 15% 15
E $90,000 20% 9
Problem 5: For each of the cases shown below in the table, calculate the future value of the cash flow:
Case Single Cash Flow Interest Rate End of Periods / Years
A $3,000 10% 7
B $44,000 12% 5
C $6,000 8% 10
D $27,000 16% 12
E $99,000 20% 6
Calculate the above future values in questions as semi annual and quarterly compounding.