Sample FE Exam Problems

Solutions

1. What to do: Find P or F from Single Amounts

1. Answer is (b)

2. P = 4P(P/F, 6%, n)
(P/F, 6%, n) = P/4P = 0.2500

From 6% interest table, 24 > n > 23

Answer is (c)

3. F = 10,000(F/P, 10%, 20)

= 10,000(6.7275)
= $67,275

Answer is (c)

4. P = 20,000(P/F, 10%, 5)
= 20,000(0.6209)
= $12,418

Answer is (c)

5. F = 20,000(F/P, 10%, 4)
= 20,000(1.4641)
= $29,282

Answer is (a)

6. P = 5,000(P/A, 10%, 10) + 1,000(P/G, 10%, 10)

= 5,000(6.1446) + 1,000(22.8913)
= 30,723 + 22,891.30
= $53,614.30

F = 53,614.30(F/P, 10%, 10)

= 53,614.30(2.5937)
= $139,059.41

Answer is (d)
7. F = 2,000(F/P,12%,10) + 3,000(F/P,12%,8) + 3,000(F/P,12%,5)
+ 3,000(F/P,12%,4)
= 2,000(3.1058) + 3,000(2.4760) + 3,000(1.7623) + 3,000(1.5735)
= $23,647

Answer is (d)