Question

1. How much would $2,000 become in 10 years at 5% interest?

2. How much would $2,000 deposits each year for 10 years at 5% become in 10 years?

3. How much money would you have to have on deposit today at a 5% annual interest rate to become $50,000 in 40 years?

4. How much money would you have to have on deposit to provide $30,000 each year for 25 years (considering 5% interest)?

Answer 1

1.	Future Value	=fv(rate,nper,pmt,pv)
		= $ 3,257.79
	Where,
	rate	=	5%
	nper	=	10
	pmt	=	0
	pv	=	$        -2,000
2.	Future Value	=fv(rate,nper,pmt,pv)
		= $ 25,155.79
	Where,
	rate	=	5%
	nper	=	10
	pmt	=	$        -2,000
	pv	=	0
3.	Present Value	=-pv(rate,nper,pmt,fv)
		= $7,102.28
	Where,
	rate	=	5%
	nper	=	40
	pmt	=	0
	fv	=	$       50,000
4.	Present Value	=-pv(rate,nper,pmt,fv)
		= $ 422,818.34
	Where,
	rate	=	5%
	nper	=	25
	pmt	=	$ 30,000.00
	fv	=	0