BA540 Note 9 30

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Time value of Money

FV
future value Funtion Formula 1
PV 1000 $2,593.74 2593.742 100
rate 0.1 110
time 10 rate 0.1
compunds semi-annually
PV 1000 $2,653.30 2653.298
rate 0.05
time 20
Present Value
FV 10000 $7,472.58 7472.582 PV
0.06 1
5 100
quarterly 90.90909
10000 $7,424.70 7424.704 rate 0.1
0.015 95.2381
20 0.05
1 2 3 4 5
100 100 100 100 100
rate 0.1
PV $379.08
1 2
0 0
rate 0.1
8.984732

0.15 0.1
1 2 3 4 5 6 7 8
10 10 10 10 15 15 15 15
$28.55 $47.55 $70.92
$150.00

t@.15 t@.1 t@.05 FV


10 3 4 4
10 2 4 4
10 1 4 4
10 4 4
10 3 4
10 2 4
10 1 4
10 4
10 3
10 2
10 1
10
2 3 4
200 300 400 FV
220 330 440 $ 1,100.00 1105.1

2 3 4
200 300 400 PV
165.2893 225.3944 273.205382 $ 754.80

181.4059 259.1513 329.08099 864.87626

3 4 5 6 7 8 9 10
0 1 2 3 3 3 3 3
$11.37
8.30171809 add the orange and yellow
0.683013

0.05
9 10 11 12
20 20 20 20 180
$147.02
88.86324
84.61747
86.2025
259.6832

($1,000.00)

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