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Question Two
Question Three
You are the project manager of
the UPD Project. This project
needs $549,007 to get started
and will last four years. What is
the future value of this
investment considering the
interest rate is 6 percent?
Question Two
Question Three
You are the project manager of
the QSA Project. You believe this
project will be worth $765,000 in
two years. What is the present
value of this project's promised
return if the assumed interest
rate is 6 percent?
PV is present value
i is the interest rate
n is the number of time periods
The following cells will be calculated for you based on the above entries.
Present value is
(1 + i) is
Time value is
Future value result is
Present Value Formula
PV = FV / (1 + i)n
Fill in the value for your questions in the following cells.
FV is future value
i is the interest rate
n is the number of time periods
The following cells will be calculated for you based on the above entries.
Future value is
(1 + i) is
Time value is
Present value result is
$1,897,526
0.06
5
$1,897,526.00
1.06
1.3382255776
$2,539,317.83
$789,456
0.06
3
$789,456.00
1.06
1.191016
$662,842.48