Question

In excel solve the following:

1.)What is the Future Value of an annual payment of 300, for 5 years, with a rate of 3%:

2.) In what time, if I deposit B / .1000.00 are equivalent to B / .8,000.00, with 20% interest

3.)How much money would I have to deposit today, so that in 10 years I can withdraw B / .5,000.00, the bank pays me 2.5% interest.

Answer 1

Using Excel

1	Annual payment	300
	Time (yrs)	5
	interest rate	3%
	Future value	1,592.74
2	Present value	1000
	Future value	8000
	interest	20%
	Time (yrs)	11.41
3	Future value	5000
	Time (yrs)	10
	interest rate	2.5%
	Present deposit	3,905.99

Showing formula in excel

1	Annual payment	300
	Time (yrs)	5
	interest rate	0.03
	Future value	=FV(C4,C3,-C2)
2	Present value	1000
	Future value	8000
	interest	0.2
	Time (yrs)	=NPER(C9,,-C7,C8)
3	Future value	5000
	Time (yrs)	10
	interest rate	0.025
	Present deposit	=PV(C14,C13,,-C12)