Download presentation

Presentation is loading. Please wait.

Published byJared Lapole Modified over 3 years ago

1
Future Values Present Values Annuities Rates of Return Amortization

2
0 1 23 I % Show the time of cash flows This is only used for compounding interest Tick marks occur at the end of periods, so time 0 is today; time 1 is the end of the first year, month, ect. Or the beginning of the second period.

3
$100 Lump sum due in 3 years 3 year $100 ordinary annuity 0 1 230 1 23 I % 100

4
After year 1: FV(1)= PV (1+I)= $100 * 1.10 = $110 After 2 years: FV(2)= PV(1+I)= $110*1.10 = 121 REPEAT THIS FOR TOTAL # OF YEARS 0 1 23 10% 100

5
0 1 23 10% 100

6
FV: Future Values PV: Present Value N: The number of Periods I: The interest rate you are working with Pmt: Payments per year (like annuities)

Similar presentations

OK

CIMABusiness MathematicsMr. Rajesh Gunesh Future Value and Compounding –After 1 year, your CD is worth $2,500 (1+0.0675) = $2,668.75 –After 2 years, the.

CIMABusiness MathematicsMr. Rajesh Gunesh Future Value and Compounding –After 1 year, your CD is worth $2,500 (1+0.0675) = $2,668.75 –After 2 years, the.

© 2017 SlidePlayer.com Inc.

All rights reserved.

Ads by Google

Ppt on vitamin d Slides for ppt on wireless communication Ppt on satellite orbit tracking English ppt on reported speech Ppt on low level language define Ppt on trial and error band Ppt on articles of association for unincorporated Download ppt on biodegradable and nonbiodegradable waste Ppt on 600 mw generator Download ppt on nationalism in indochina