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- How much would you invest today in order to receive $30,000 in each of the following (for further Instructions on present value In Excel, see Appendix C): A. 10 years at 9% B. 8 years at 12% C. 14 years at 15% D. 19 years at 18%if the annual rate is 10% and the annual infinity (forever) payment is $1000, what is the present value of perpetuity? a. $15,000 b. $10,000 c. $8,000 d. $5,000What's the present value of a perpetuity that pays $1,700 per year if the appropriate interest rate is 5%? $40,800.00 $31,280.00 $34,000.00 $25,840.00 $32,640.00
- What is the present value or price of a 10 year $20,000 annuity with an interest rate of 5% $1.9M $3M $2.1M $1MHow much should be invested now (to the nearest $) to receive $24,000 per annum in perpetuity if the annual rate of interest is 5%? A $1,200 B $25,200 C $120,000 D $480,000What is the present value of a perpetuity that pays annual, end-of-year payments of $850 every year? Use a nominal rate of 8.00%. O $10,625 O $10,952 O $10,241 O $9,133 O $9,004
- What is the future value of a perpetuity with annual payments of $1,000 compounding at 10%How much more is a perpetuity of $1,500 worth than an annuity of the same amount for 20 years? Assume an interest rate of 10% and cash flows at the end of each period. O $2,229.65 O $1,486.44 O $1,635.08 $2,000.00A perpetuity of $5,000 per year beginning today, offers a 10% return. What is its present value? A. $33,333.33 B. $55,000.00 C. $38,333.33 O D. $65,217.39
- What is the future value of a 12%, 10 year annuity due that pays 1,000 each yearWhat is the present value of a perpetuity that pays $1,500 every year at a discount rate of 7.5%? Group of answer choices $20,000 $21,429 $1,395 $11,250What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000 with the final payment? Use a nominal rate of 7.23%. $1,039 $946 O $882 O $990 O $873