1 Given a 10% interest rate, calculate the present value of the following cash flows

0 t+ 1 t+ 2 t+ 3
-100 50 100 200

PV 178.36

2 Given a 12% interest rate, calculate the present value of the following cash flows

0 1 2 3 4
-500 0 200 0 0
0.00 159.44 0.00 0.00
PV= 794.29

3 Given an 8% interest rate, which of the following sequence of cash flows has the highest present value?
8%
Year 1 Year 2 Year 3 Year 4
A 110 20 10 5
B 20 -5 20 110
C -100 -100 -100 500

4 Bryan invests $5,000 in a mutual fund offering a 12% annual return. In how many years will Bryan duplicate his
5000∗ 〖 1.12 〗
investment 5000
〖 1.12 〗 ^𝑛=2
EAR 12% 𝑛∗ln⁡1.12=ln⁡2
FV 10000 𝑛=ln⁡2/ln⁡1.12
𝑛=6.12
Npagos 6.12
Years 7.00

5 The amount an investor will have in 15 years if $1,000 is invested today at an annual interest rate of 9% will be
a)      $1,350 t 15
b)       $3,518 PV 1000
c)       $3,642 ear 9%
FV 3642.48

6 Fifty years ago, an investor bought a share of stock for $10. The stock has paid no dividends during this period,
a)       $4,550 t 50
b)       $45,502 price 10
c)       $91,004 EAR 20% same as nominal
PV 91004.38 =FV(E44,E42,0,-E43)

7 How much must be invested today, at 8% interest, to accumulate enough to retire a $10,000 debt due seven ye
a)       $5,835 EAR 8%
b)       $6,123 t 7
c)       $8,794 FV 10000
PV 5835

8 An analyst estimates that XYZ’s earnings will grow from $3 a share to $4.5 per share over the next eight years.
a)       4.90% year 1 year 8
b)       5.20% 50% 3 4.5
c)       6.70%
FV=PV*(1+r)^n
4,5=3(1+r)^8
r=(4,5/3)^(1/8)-1
r= 5.20%
5.20% =RATE(8,0,E55,-F55)

9 An investment will generate cash flows of US$ 500, US$ 200 and US$ 800 at the end of the next three years. Fi
1 2 3 r=
500 200 800 PV
472.81 178.84 676.47 =PV($G$64,D64,0,-D65,1)

10

a. An investor offers to buy two promissory notes of $200,000 (one maturing after 4 years and the other one aft
onwards, what is the price that the investor should offer?

b. How many months should a $ 5,000 accumulation policy, that pays 5% annual cash, be left so that it becom

c. Mr. Vidal plans to buy a television to comfortably watch the World Cup matches. The appliance store has o
S / 500. What is the EAR for the use of credit? On the other hand, Mr. Vidal, thanks to his network, can obtain a

Effectivve rates: real return when there is compounding

Nominal rates: does not reflect compounding

a. promissory note: written promise of a payment

after year 4 after year 5 Year

200000 200000 1 to 4
PV 127103.62 110524.88 5 to ..
Total PV 237628.50 If I powered to the fifth it would mean that the 15% re
237628.49888181

b. C 5000
EAR 5% nper
EMR 0.41% months
VF 14000
c. 3 monthly payment 210 EMR 13%
cash 500 EAR 311.41%

month 1 2 3
210 210 210
PV 500.00 >>500 datos>> analisis de hipotesis>> b

loan rate (EAR) 30% this one is better as the EAR is lower than the one offer
 5
2,000
1134.85 794.29

hest present value?

Y0
130.61
110.96
109.81

ars will Bryan duplicate his investment?

5000∗ 〖 1.12 〗 ^𝑛=10000
PV*(1+r)^n=FV
〖 1.12 〗 ^𝑛=2
𝑛∗ln⁡1.12=ln⁡2 5000*(1+12%)^n=100000
𝑛=ln⁡2/ln⁡1.12 (1+12%)^n=2
𝑛=6.12 n*ln1.12=ln2
n= 6.12

interest rate of 9% will be closest to:

vidends during this period, yet it has returned 20%, compounded annually, over the past 50 years. If this true, the share price is now cl

as nominal
44,E42,0,-E43)

$10,000 debt due seven years from today? The amount that must be invested today is closest to:
over the next eight years. The rate of growth in XYZ’s earnings is closest to:

E(8,0,E55,-F55) vf en negativo

of the next three years. Find the present value if the discount rate is 5.75%.
5.75%
1328.13
1328.13

years and the other one after 5 years). If the other best option yields 12% of EAR from the first to the fourth year and 15% of EAR from

ash, be left so that it becomes $ 14,000?

s. The appliance store has offered to pay for the TV in three monthly payments of S/ 210, but they inform him that if he pays it in cash,
o his network, can obtain a loan from the bank with an effective annual rate (EAR) of 30%. What is the best decision for Mr. Vidal?

EAR
12%
15%
ould mean that the 15% remains constant for 5 years

PV∗ 〖 1+r 〗 ^𝑛=

〖 1+r 〗 ^𝑛=FV/
𝑛∗ln⁡(1+r)=ln⁡(FV/P
253.24 253.24
𝑛=ln⁡(fV/PV)/ln⁡(1+r
254.00
 𝑛∗ln⁡(1+r)=ln⁡(FV/P
𝑛=ln⁡(fV/PV)/ln⁡(1+r

>> analisis de hipotesis>> buscar obj

is lower than the one offered by the store, he should take the bank´s loan and purchase de tv with cash
, the share price is now closest to:
 year and 15% of EAR from the fifth year

m that if he pays it in cash, it is delivered for

ecision for Mr. Vidal?

PV∗ 〖 1+r 〗 ^𝑛=FV

〖 1+r 〗 ^𝑛=FV/PV
𝑛∗ln⁡(1+r)=ln⁡(FV/PV)
𝑛=ln⁡(fV/PV)/ln⁡(1+r)
11 What is the effective annual rate for a credit card that charges 18% compounded monthly?
a)       15.38% 19.56%
b)       18.81%
c)       19.56%

12 Calculate the EAR for a:

a)       5% interest rate compounded quarterly Nominal interest rate
5%
b)       3.5% interest rate compounded semiannually
3.50%
c)       10% interest rate compounded daily
10%

13 Calculate the following:

a)       The interest rate compounded monthly that is equivalent to an 8% interest rate compounded semiannually
EAR 8.16% m
b)       The interest rate compounded quarterly that is equivalent to EAR of 12%
EAR 12% m
c)       The interest rate compounded weekly that is equivalent to a 5% interest rate compounded monthly
EAR 5.12% m

14 John is planning to retire in 20 years. For that reason, he wants to make the following deposits throughout tim
Value when paid PV
Year 0 50,000.00 50,000.00
Year 5 15,000.00 10,694.79
Year 10 12,000.00 5,558.32
Year 15 25,000.00 7,017.24
Total 73,270.36
FV 434,503.86
Future value EAR=(1+rate/m)^m-1
rate=((EAR+1)^(1/m)-1)*m

15 Calculate the following:

EAR Rate

The interest rate compounded

weekly that is equivalent to an 8%
interest rate compounded quarterly
a) 8.24% 7.93%
The interest rate compounded
monthly that is equivalent to EAR of
b) 10% 10% 9.57%
 The interest rate compounded
semiannually that is equivalent to a
6% interest rate compounded
monthly
c) 6.17% 6.08%

The EAR that is equivalent to a 12%

interest rate compounded quarterly
d) 12.55%

16 Which of the following options gives the highest EAR?

An 8% annual rate compounded
a) daily 8.33%
A 7.95% annual rate compounded
b) monthly 8.25%
A 8.05% annual rate compounded
c) quarterly 8.30%

17 Make the following conversion of rates:

From To

Annual interest rate compounded

EAR
semiannually of 5%
5.06%
Semiannual interest rate
EAR
compounded annually of 10% 20.00%
Quarterly interest rate compounded Annual interest rate compounded
annually of 4% semiannually EAR=
Annual interest rate compounded
EAR 8%
bimonthly EAR=
Semiannual effective rate of 5% EAR 10.25%
Annual interest rate compounded
Quarterly effective rate of 4.5%
semiannually EAR=
Annual interest rate compounded
Daily effective rate
biweekly of 12% EAR=
With this information it is requested to calculate the Effective Annual Rates (EAR) from year 1 to year 2 and fro
18
STEP 1: Calculate the EAR
Interest rate EAR
0- 1 5% 5.06%
0- 2 8% 8.00%
0- 3 4.50% 9.34%

STEP 2: Calculate forward rates

0 1
 X

EAR (1 to 2) X*(1+r01)*(1+r12) =
(1+r12) =
r12 =

EAR (2 to 3) (1+r02)^2*(1+r23) =
r23 =
r23 =
19 The following financial instruments are available which consist of paying an initial value to receive a final value.

From To
Year 0 -100 Año 10
Year 0 -100 Año 30
Year 0 -200 Año 40
Year 0 -300 Año 50

1 Calculate EAR

From To
Year 0 -100 10
Year 0 -100 30
Year 0 -200 40
Year 0 -300 50

2 Calculate future rates

From To
Year 10 Year 50
Year 30 Year 50
Year 40 Year 50

3 Calculate future values

CF
Year 0 S/.2,000
Year 10 S/.500
Year 30 S/.500
Year 40 S/.500

20 Juan is making a 50-year investment plan. He decides to plan and close all the deals today, so he plans to inves

0 Year 0 S/.2,000
 Year 10 S/.500
Year 30 S/.500
Year 40 S/.500

1 EAR
From To EAR
10 Year 0 Year 10 7.0%
30 Year 0 Year 30 8.0%
40 Year 0 Year 40 6.1%
50 Year 0 Year 50 7.3%

2 Future rates
From To
Year 10 Year 50 7.35%
Year 30 Year 50 6.21%
Year 40 Year 50 12.17%

3 Future value
CF FV
Year 0 S/.2,000 67090.27
Year 10 S/.500 8526.32
Year 30 S/.500 1666.81
Year 40 S/.500 1576.24
78859.64
21 Given daily compounding, the growth of $5,000 invested for one year at 12% interest will be closest to:
a)       $5,600
b)       $5,628 EAR 12.75%
c)       $5,637 FV 5637.371534388
22 In his 25 birthday, Alvaro had US$ 2000 and decided to deposit his money on an AFP. As he was young, he pref
#3 4.25% bimonthly
0.255
EAR 25.5% 0,5 en el test

#2 6.34% semianual
0.1268
EAR 13.3%

fund 3 EAR 25.50%

fund2 EAR 13.30%

money in P (20) 187890.37

goal 500000
nper 7.841
years 8
age 52.84
mpounded monthly?

EAR
5.09%

3.53%

10.52%

ompounded semiannually
12 8,16%=(1+NAR/12)^12-1 NAR= 7.87%

4 12%=(1+NAR/4)^4-1 NAR= 11.49%

mpounded monthly
52 5,12%=(1+NAR/51)^52-1 NAR= 4.99%

the following deposits throughout time. However, these contributions will return the market interest rates. John knows the current in
From To
Year 0 Year 5
Year 0 Year 10

Year 0 Year 15

Year 0 Year 20

1+rate/m)^m-1
(EAR+1)^(1/m)-1)*m

m 52

m 12
 m 2

16.00% m 2 NAR=

8.00% m 6 NAR=

18.00% m 2 NAR=

12.72% m 365 DER=

ates (EAR) from year 1 to year 2 and from year 2 to year 3 (both agreed in year 0).

2 3
 .

X*(1+r02)^2
(1+r02)^2/(1+r01)
11.02%

(1+r03)^3
=(1+r03)^3/(1+r02)^2
12.08%
g an initial value to receive a final value. Juan is making a 50-year investment plan. He decides to plan and close all the deals today, so

To
150 Year 0 S/.2,000
400 Year 10 S/.500
1500 Year 30 S/.500
4000 Year 40 S/.500

To Rate
150 4.14% FV=
400 4.73% r=
1500 5.17%
4000 5.32%

rate
5.61%
6.20%
6%

FV
26666.67
4444.44
1666.67
888.89
33666.67

all the deals today, so he plans to invest the following cash flows in the following periods. These amounts will be monetized at the corr

From To EAR
Year 0 Year 10 7% EAR
 Year 0 Year 30 8% EAR
Year 0 Year 40 6% Bimonthly interest rate compounded semiannually
Year 0 Year 50 7% 250 days effective rate

250 days 1 years

1 año 360 dias

360 dias 250 dias
360/250

(1+r0-50)^50 =
r10-50 =

(1+r0-50)^50 =
r30-50 =

(1+r0-50)^50 =
r40-50 =

t 12% interest will be closest to:

ey on an AFP. As he was young, he preferred to put his money in fund #3, which gave a bimonthly interest rate compounded annually
Initial value(t=25) 2000
Value (t=25+20) 187,890.4

Value(t=45+T) 187,890.37

Years

25 26 27 28
0 1 2 3
2000
turn the market interest rates. John knows the current interest rates. John wants to know how much will he have accumulated to the
Interest rate EAR
7% (EAR) 7%
8% (EAR) 8%
8.5% (Annual rate, compounded
monthly) 8.84%
9% (Annual rate, compounded
quarterly) 9.31%
 EAR=(1+NAR/m)^m-1

15.41%

7.75%

17.26%

0.03%
r 0).
plan. He decides to plan and close all the deals today, so he plans to invest the following cash flows in the following periods. (i) “Investi

PV*(1+r)^n
(FV/PV)^(1/n)-1

10 20 30 40 50

(1+r0-50)^50 = (1+r0-10)^10*(1+r10-50)^40
5.61% = r10-50

(1+r0-50)^50 = (1+r0-30)^30*(1+r30-50)^20
6% = r30-50

(1+r0-50)^50 = (1+r0-40)^40*(1+r40-50)^10
6% = r40-50

ing periods. These amounts will be monetized at the corresponding market rates. Juan knows today's market rates. Juan wants to kno
Bimonthly interest rate compounded semiannually
250 days effective rate

(1+r0-10)^10*(1+r10-50)^40
7.35%

(1+r0-30)^30*(1+r30-50)^20
6.21%

(1+r0-40)^40*(1+r40-50)^10
12.17%

ch gave a bimonthly interest rate compounded annually of 4.25%. Twenty years after, he decided to change to fund #2, because it was

29 30 31 32 33
4 5 6 7 8
h will he have accumulated to the time of his retirement. Please help him with this issue.
n the following periods. (i) “Investing a sol from year 0 to year t must be exactly the same as investing that same sol from year 0 to yea

s market rates. Juan wants to know the value of his total investment after the 50 years and you will have to calculate it. Remember th
change to fund #2, because it wasn’t as risky as the other. This fund gave a semiannual interest rate compounded quarterly of 6.34%.

34 35 36 37 38 39 40 41 42
9 10 11 12 13 14 15 16 17
hat same sol from year 0 to year t-k (k> 0) and reinvest the entire amount obtained from year t-k to year t”.

ve to calculate it. Remember that if we agree on t = 0: (i) “Investing a sol from year 0 to year t must be exactly the same as investing th
ompounded quarterly of 6.34%. He mentions that we will withdraw his money when it reaches US$ 500 000. ¿How old will Alvaro be in

43 44 45
18 19 20
187890.37
exactly the same as investing that same sol from year 0 to year t-k (k> 0) and reinvest the entire amount obtained from year t-k to yea
0 000. ¿How old will Alvaro be in that moment?
nt obtained from year t-k to year t”.
23 An investor has just won the lottery and will receive $50,000 per year at the end of each year for the next 20 ye
a)       $425,678
b)       $637,241 425678.19
c)       $2,863,750
425678.19

24 If $10,000 is invested today in an account that earns interest at a rate of 9.5%, what is the value of the equal wi
that can be taken out of the account at the end of each of the next five years if the investor plans to deplete th
a)       $2,453
b)       $2,604 A
c)       $2,750 annuity
r

25 An investor will receive an annuity of $4,000 a year for ten years. The first payment is to be received five years
a)       $16,684 9%
b)       $18,186 0
c)       $25,671 0

Annuity 18185.72
VNA= 18,185.72 €

26 Assuming a 10% interest rate, calculate the PV of the following:

a)       An ordinary annuity of $3,000 for 10 years

b)       An annuity due of $2,500 for 8 years

c)       A perpetuity of $5,000

d)       An ordinary annuity of $300 with a constant growth rate of 5% for 7 years

27
Current cost 5000
Inflation 3.50%
Interest rate on savings 8%
period year
n 10
rent due

28
 Annuity 1500
Years 25
Payment on the date of the last payment 40000
Required return 4%

Maximum price to pay 38437.79

29
Bank Account 202,971.39
i. Return 8%
EAR
Effective monthly rate
Target amount 1,000,000

monthly period 0 1
202,971.39 250
ii.
EMR 0.67%
nper 220
PV(0) 231779.65
FV(220) 1000000
n in months
n in years

Age

30
0-10 10-20
A 10% 5%
B 5% 5%
C 8% 8%

Inheritance 10,000,000
Annuity 1,000,000

FV Inheritance (Option A)
FV Inheritance (Option B)
FV Inheritance (Option C)

FV Option A
FV Option B
 FV Option C

31 Discount rate 0.15

a) 17,949.29 or
b) 13,492.42 or
c) 33,333.33
d) 80,000.00
e) 16,733.27 16,733.27

32
Discount rate 12%
a) 49,198.77
b) 27,219.37
c) 31,808.71

33
Annual salary 5000
Percentage saved savings
salary
EAR i

Effective monthly rate period

fee

NIR
EAR
EMR
Required Loan
FV(120)
PV(120)

34
All the amounts are in millions
a
 b

In this case n is in months

c

35
EAR
PV 10%
a S/.8,339.73

b 7,460.56

c 8,315.21

36
NR
EAR

n= 9.42
Age 34.42 years

37
38
A B C

0 50,000,000 60,000,000 70,000,000

5 5,000,000

10 5,000,000 10,000,000

15 5,000,000
20 5,000,000

PV A B C
0 50,000,000 60,000,000 70,000,000
5 3,896,027
10 2,845,203 5,690,407
15 2,033,903
20 1,376,973
Total 60,152,106 65,690,407 70,000,000

Future value 571,501,094

39
EAR 8.24%
Effective monthly rate 0.66%
Effective weekly rate 0.15%

X
40

FV
r
t

41
Opportunity cost of capital 15% EAR

a Annuity 3000
Project's life 10
b Annuity 2500
Project's life 8
c Annuity 500
Project's life infinite
d Annuity 300
Project's life infinite
Growth rate 5%
e Annuity 2000
Project's life 10
*a AV 10000
Project's life 4
b AV 10000
Project's life 6
Growth rate 5%

42

NAR 8.00% 1st salary

EAR 8.33% 2nd salary
EMR 0.67%

EAR 8.33%
EMR 0.67%
N 48 PV
year 1-3 450 14355
year 4 755 6827 21181
43
EAR
 Rate 1 (1-2 year) 4.0%
Rate 2 (3-4) 3.55%
4... 5%

PV (3)
PV(4)
Fund PV(2)
Fund=
44
a. A 50000
No, due this es not the real PV of the prize. n 20
The real value will depend on the r
Is not taking the value of money over time
b. EAR 8%

1 2
50000 50000

S/490,907.37 490,907.37 €

45

Scolarship (US$) 10,000

g 5.0%
r 15.00%
First Scolarship (year) 7

46 Patricio is a former banker that wants to save money to move to his favorite city: San Diego.
Savings
A 35000
period monthly

A 50000
period annual

Expenses 8000

Dec-18 EAR 4%
EMR 0.3%
Mar-22 EMR 1%

mortgage 120
47 At retirement nine years from now, a client will have the option of receiving a lump sum of £400,000 or 20 annu

PV 400000

n 20
A 40000
r 8%
PV (9) 400000

48

Your friend Miguelon is trying to decide the best deposit account to save his money. He knows that in

a.     First year wage: He is going to deposit the money at Skotia, at a semiannual nominal rate compoun
b.     Second year wage: He is going to deposit the money at VCB at a three-year EAR of 10%.
c.      Third year wage: He is going to deposit the money at VVBA at an annual nominal rate compounded

Bank Operation
Skotia Withdrawal
VCP Withdrawal
VVBA Deposit

How much will he save in total at year 6?

Wage 3,800

Rates: EAR
SKOTIA
VCP
VVBA

First wage → Skotia

 1 2
CF

Year 6

Second Wage → VCP

1 2
CF

Year 6

Third Wage

Years 1 2
CF

Year 6
at the end of each year for the next 20 years. At a 10% interest rate, the present value of the winnings is closest to:

of 9.5%, what is the value of the equal withdrawals

e years if the investor plans to deplete the account at the end of the time period?

10000 2,604.36 €
due
9.50%

first payment is to be received five years from today. At a 9% discount rate, this annuity’s worth today is closest to:

1 2 3 4 5
0 0 0 0 4000

18434 EAR 10%

14671 0 1
300
50000 1,667.61 €

1668

Cost 1st cruise at 9th year 6814 1) FV of the cost

Cost 2nd cruise at 10th year 7053 0
Cost 3rd cruise at 11th year 7300
X
PV 1st cruise 3409 2) find the PV of all the tickets
PV 2nd cruise 3267
PV 3rd cruise 3131

PV 3 cruises 9807 19603.48

Annuity S/.1,353.22
 0 1 2 3
1500 1500 1500

38437.79

EAR 8.30%
Npayments 20.0

Age 55.00

2 .. X?
250 1,000,000
202,971.39

220.03
18.335450

53.34

20-30 30-40
3% 0.50%
5% 5%
5% 5%

0-10 10-20
FV 25,937,425 42,249,332
A
Annuity FV
B
C
 1 2 3 4 5
4500 4770 5056.2 5359.572 5681.14632

40% 0 1 2
5000 5000 5006
0.12% -2000 -2002
3000 3004
monthly 51 52
5320 5327
180000 -2128 -2131
3192 3196
10% 101 102
10.38% 5660 5668
0.83% -2264 -2267
3396 3401
518,674 €
-70,764 €
447,910 €

EAR

n
Nominal ann 5.00%
Age at retirement Eff quarter 1.25%
EAR
EAR 5.09%
 #DIV/0!

n #DIV/0!

Age at retirement

Effective monthly rate

n in months
n in years

Age at retirement

0 1 2 3
2350 2538 2741.04

5%
5.12%

AGE 25
period 0
5000000
A 500000

n 3.71
Age 28.71

From To Interest rate EAR

5% (Annual rate,
Year 0 Year 5 compounded
monthly) 5.12%
Year 0 Year 10 5.8% (EAR) 5.80%
6% (Annual rate,
Year 0 Year 15 compounded 6.18%
weekly)

6.5% (Annual
Year 0 Year 20 rate, compounded 6.66%
quarterly)

Year 0 Year 25 6.8% (EAR) 6.80%

Year 0 Year 30 7.25% (EAR) 7.25%

period weekly months

Initial investment 10000 FV (12) 2703.69

weekly deposit 50 * FV(24) 2926.56
PV(0) -1363.11
tickets 10000 FV(24) -1597.11
month cost 200 Total 1329.45
 5000
5% monthly
4 months

Answer 1160.06

años AV 15,056.31 €

años AV 12,901.05 €

AV 3333.333333

AV 3450

years AV 4,668.62 €

Perpetuity 1500

Perpetuity 1000

Meses
4500 36
7550 12

FV1 18,248.11 Month 36 FV2

FV1 19,767.77 Month 48

FV TOTAL 29,168.59
 A 25000

0 1 2 3
X?
500000
517731.0
482876.2
446103.0

3 4 5 6 7
50000 50000 50000 50000 50000

A
PV (6) 100,000.00 G
PV (0) 43,232.76 EAR

PV(6)
PV(0)
avorite city: San Diego.
27000
696620.12
760888.52 27 20%
3043554.06 80% Dec-18 Jan-19
0 1 2
27000 27000

Dec-20 Jan-21
13 14
27000 27000

PV(0) 721,259 € Dec-21 Jan-22

FV(28) 790,379.5 € 80% 25 26
 27000 27000

ceiving a lump sum of £400,000 or 20 annual payments of £40,000, with the first payment made at retirement. What is the annual rate the

t to save his money. He knows that in the following 3 years (at the end of the year) he will receive USD 3,800 annually, and his

at a semiannual nominal rate compounded quarterly of 8%.

at a three-year EAR of 10%.
at an annual nominal rate compounded semiannual of 5%.

Amount Period
2000 Year 3
1560 Semester 7
3100 Year 1

EWR
3 4 5 6

3 3.5 4 5 6

3 4 5 6
is closest to:

is closest to:

6 7 8 9 10 11 12
4000 4000 4000 4000 4000 4000 4000

2 3 4 5 6 7
315 330.75 347.2875 364.651875 382.8844688 402.02869

1 2 3 4 5 6 7

X X X X X X X

PV(9) 19603.48 =R35+S35/(1+C35)+T35/(1+C35)^2

Payment 1252.98 =PMT(C35,10,,-K39,1)
1,353.22 €
confirm 19603.48 =FV(C35,10,-K40,,1)
 4 5 6 7 8 9 10
1500 1500 1500 1500 1500 1500 1500

20-30 30-40 Final FV

56,779,569 59,683,283 103,842,131 =C81*(1+C77)^10*(1+D77)^10*(1+E77)^10*(1+F77)^10+L85
44,158,847.30
70,399,887
123,669,069
 3 4 5 6 7 8 9
5012 5019 5025 5031 5037 5044 5050
-2005 -2007 -2010 -2012 -2015 -2017 -2020
3007 3011 3015 3019 3022 3026 3030
53 54 55 56 57 58 59
5333 5340 5346 5353 5360 5366 5373
-2133 -2136 -2139 -2141 -2144 -2147 -2149
3200 3204 3208 3212 3216 3220 3224
103 104 105 106 107 108 109
5675 5682 5689 5696 5703 5710 5717
-2270 -2273 -2275 -2278 -2281 -2284 -2287
3405 3409 3413 3417 3422 3426 3430

Age

Goal
30 31 NR
0 1 EAR
10000000 EMR
 10= 20/(1+5,09%)^n
(1+5,09%)^n =2
n= ln(2)/ln(1+5,09%)
n= 13.96
n= 14 years

age= 44

4
2960.3232
0 1 2 3 4 5 6
10000 0 0 0 0 0 0

13 14 15 16 17 18
-200 -200 -200 -200 -200 -200
PV=A/r
A=PV*r

A=PV*(r-g)

Month 48
 4 5 6 7 8
25000 26000 27040 28121.6 29246.464 …

8 9 10 11 12 13 14
50000 50000 50000 50000 50000 50000 50000

10000
5%
15% 0 1 2 3 4 5

100000
43232.76

Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19

3 4 5 6 7 8 9
27000 27000 27000 27000 27000 27000 27000

Feb-21 Mar-21 Apr-21 May-21 Jun-21 Jul-21 Aug-21

15 16 17 18 19 20 21
27000 27000 27000 27000 27000 27000 27000

Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22

27 28 29 30 31 32 33
 27000 27000

first payment

rement. What is the annual rate the client would need to earn on a retirement investment to be indifferent between the two choices?

eive USD 3,800 annually, and his investment plan is the following:
 S1 S2 S3 S4 S5 S6

Semester 12

S1 S2 S3 S4 S5 S6

Semester 12

S1 S2 S3 S4 S5 S6

Semester 12
 13 14
4000 4000

* * *
8 9 10 11 12 13 14
6814 7053 7300
X X
 11 12 13 14 15 16 17 18
1500 1500 1500 1500 1500 1500 1500 1500

1+F77)^10+L85
 10 11 12 13 14 15 16 17
5056 5062 5069 5075 5081 5088 5094 5100
-2022 -2025 -2027 -2030 -2033 -2035 -2038 -2040
3034 3037 3041 3045 3049 3053 3056 3060
60 61 62 63 64 65 66 67
5380 5386 5393 5400 5407 5413 5420 5427
-2152 -2155 -2157 -2160 -2163 -2165 -2168 -2171
3228 3232 3236 3240 3244 3248 3252 3256
110 111 112 113 114 115 116 117
5724 5731 5738 5745 5753 5760 5767 5774
-2290 -2292 -2295 -2298 -2301 -2304 -2307 -2310
3434 3439 3443 3447 3452 -56544 3460 3464
-60000

30
10000000 a)nper 13.95 years
20000000 43.95 age
5%
5.1%
0.0041494251 b) 9.82 years
39.82 age
c) 163.1429964 months 973.51029
43.60 age
163.143 nper
20000000
 7 8 9 10 11 12
0 0 0 0 0 -10000

19 20 21 22 23 24
-200 -200 -200 -200 -200 -200
 15 16 17 18 19 20
50000 50000 50000 50000 50000 50000

6 7 8
10000 10500 …

Sep-19 Oct-19 Nov-19

10 11 12
27000 27000 27000

Sep-21 Oct-21 Nov-21

22 23 24
27000 27000 27000

Sep-22 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23

34 35 36 37 38 39
een the two choices?

0 1 2
3800 3800
Skotia
VCB
VVBA 3100

a) Skotia

EAR 16.99%

b) year 2 VCB

EAR 3.23%
ESR 1.6%

c) 3 year: VVBA
EAR 5.06%
 19 20 21 22 23 24 25
1500 1500 1500 1500 1500 1500 41500
 18 19 20 21 22 23 24 25 26
5107 5113 5119 5126 5132 5138 5145 5151 5158
-2043 -2045 -2048 -2050 -2053 -2055 -2058 -2060 -2063
3064 3068 3072 3075 3079 3083 3087 3091 3095
68 69 70 71 72 73 74 75 76
5433 5440 5447 5454 5460 5467 5474 5481 5488
-2173 -2176 -2179 -2181 -2184 -2187 -2190 -2192 -2195
3260 3264 3268 3272 3276 3280 3284 3288 3293
118 119 120 121 122 123 124 125 126
5781 5788 5796 -60000
-2312 -2315 -2318 -1200 -1200 -1200 -1200 -1200 -1200
3469 3473 -66523 -1200 -1200 -1200 -1200 -1200 -61200
-70000
datos>> buscar obj
 3
3800
-2000
1560 semester 7

0 1 2 3 4 5 6
Skotia 3800 8326.3
VCB 3800 4314.9
VVBA 3800 4406.8

0 1 2 3 4 5 6
Skotia -2000 -3202.1
VCB -1560 -1689.0
VVBA 3100 3968.3

1 2 3 4 5 6
 27 28 29 30 31 32 33 34 35 36
5164 5170 5177 5183 5190 5196 5203 5209 5215 5222
-2066 -2068 -2071 -2073 -2076 -2078 -2081 -2084 -2086 -2089
3098 3102 3106 3110 3114 3118 3122 3125 3129 3133
77 78 79 80 81 82 83 84 85 86
5494 5501 5508 5515 5522 5529 5535 5542 5549 5556
-2198 -2200 -2203 -2206 -2209 -2211 -2214 -2217 -2220 -2222
3297 3301 3305 3309 3313 3317 3321 3325 3330 3334
127 128 129 130 131 132

-1200 -1200 -1200 -1200 -1200 -1200

-1200 -1200 -1200 -1200 -1200 -1200
 Total year 6: 16125.3

7 8 9 10 11 12
-1560
 37 38 39 40 41 42 43 44 45 46
5228 5235 5241 5248 5254 5261 5267 5274 5281 5287
-2091 -2094 -2097 -2099 -2102 -2104 -2107 -2110 -2112 -2115
3137 3141 3145 3149 3153 3157 3160 3164 3168 3172
87 88 89 90 91 92 93 94 95 96
5563 5570 5577 5584 5591 5598 5605 5612 5619 5625
-2225 -2228 -2231 -2234 -2236 -2239 -2242 -2245 -2247 -2250
3338 3342 3346 3350 3354 3359 3363 3367 3371 3375
 47 48 49 50
5294 5300 5307 5313
-2117 -2120 -2123 -2125
3176 3180 3184 3188
97 98 99 100
5632 5639 5646 5653
-2253 -2256 -2259 -2261
3379 3384 3388 3392