Q.1 Future Value of Lump Sum Rate NPER PMT PV Type FV 10.00% 10 0 500,000 0 1,296,871.

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Q.2 Future Value of Annuity (Sarvanan) Rate NPER PMT PV Type FV

Formula for FV for lump sum: =FV(rate,nper,pmt,-pv,type) Type=0, Make sure that PV is mentioned in NEGATIVE because this is the outflow every year

Formula for FV for annuity : =FV(rate,nper,-pmt,pv,type) type=0 Make sure that PMT is mentioned in NEGATIVE because this is the outflow every year

Q.3 Future Value of Annuity Due (Sarita) Rate NPER PMT PV Type FV 9.00% 10 100,000 0 1 1,656,029.34

Q.4 Future Value of sinking fund Rate NPER PV FV Type sinking fund

Formula for FV for lump sum: =FV(rate,nper,-pmt,pv,type) Type=1, Make sure that PMT is mentioned in NEGATIVE because this is the outflow every year Formula for FV for sinking fund : =PMT(rate,nper,pv,fv,type) type=0

NPER: No. of periods PMT: Periodic payments (used only for annuity) Type: for year end =0, for annuity due =1

e of Annuity (Sarvanan) 8.00% 10 100,000 0 0 1,448,656.25 10.00% 10 100,000 0 0 1,593,742.46 12.00% 10 100,000 0 0 1,754,873.51

0.15 7 0 8000000 0 - 722,882.91

Q.1 Present Value of Lump Sum Rate NPER PMT FV Type PV 10.00% 3 0 50,000 0 -37,565.74

Q.1 Present Value of Annuity Rate NPER PMT FV Type PV 8.00% 5 200000 0 0 -798,542.01

Formula for PV for annuity : =PV(rate,nper,-pmt,fv,type) Formula for PV for lump sum : =PV(rate,nper,pmt,fv,type) Type=0 type=0, FV=0, Make sure that PMT is mentioned in NEGATIVE because this is the outflow every year

Calculating rate of interest PMT NPER PV FV Type PV

0 6 6700 20,000 0 20%

NPER: No. of periods PMT: Equal payment in each period (in lump sum, PMT=0) Type: for cash flows occuring at year end =0, for beginning of year =1

Formula for FV for annuity due : =FV(rate,nper,-pmt,pv,type) type=1 Make sure that PMT is mentioned Formula for FV for sinking fund : =PMT(rate,nper,pv,fv,type) type=0

1 Make sure that PMT is mentioned in NEGATIVE because this is the outflow every year