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1.

The following are exercises in future


(terminal) values: a. At the end of three years,
how much is an initial deposit of $100 worth,
assuming a compound annual interest rate of
(i) 100 percent? (ii) 10 percent? (iii) 0
percent?
2. b. At the end of five years, how much is an
initial $500 deposit followed by five year-end,
annual $100 payments worth, assuming a
compound annual interest rate of (i) 10
percent? (ii) 5 percent? (iii) 0 percent?
3. c. At the end of six years, how much is an
initial $500 deposit followed by five year-end,
annual $100 payments worth, assuming a
compound annual interest rate of (i) 10
percent? (ii) 5 percent? (iii) 0 percent? d.
4. At the end of three years, how much is an
initial $100 deposit worth, assuming a
quarterly compounded annual interest rate of
(i) 100 percent? (ii) 10 percent?

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