DONT GIVE ME THAT FORMULA CAUSE IT DOESNT WORK GIVE IT TO ME IN AN EXCEL SHEET ORFORMULA WITH PROOF I WILL MARK IT WRONG. THE RIGHT ANSWER IS BELOW HOW CAN I USE EXCELProblem 2: You are offered the opportunity to put some money away for retirement. You will receive 6annual payments of $20,000 each beginning in 25 years. How much would you be willing to invest today ifyou desire an interest rate of 9 % ? Solution: Cash-flow key method CF0 = 0; CO1 = 0; F01 = 24; CO2 = 20,000; FO2 = 6; CPT NPV I(9) NPV ($11,340.85)NPV (9%, {0, 0, REP (20,000, 6, 1)}, {0, 24, 6}){0, 0, REP (20,000, 6, 1)} :=

Present value illustrates the current value of a sum of money that will be received or paid in the…

annual payments of $20,000 each beginning in 25 years. How much would you be willing to invest today if you desire an interest rate of 9 % ? Solution: Cash-flow key method CFO = 0; CO1 = 0; F01 = 24; CO

annual payments of $20,000 each beginning in 25 years. How much would you be willing to invest today if you desire an interest rate of 9 % ? Solution: Cash-flow key method CFO = 0; CO1 = 0; F01 = 24; CO

PFIN (with PFIN Online, 1 term (6 months) Printed Access Card) (New, Engaging Titles from 4LTR Press)

6th Edition

ISBN:9781337117005

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter2: Using Financial Statements And Budgets

Section: Chapter Questions

Problem 5FPE

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Question

DONT GIVE ME THAT FORMULA CAUSE IT DOESNT WORK GIVE IT TO ME IN AN EXCEL SHEET OR
FORMULA WITH PROOF I WILL MARK IT WRONG. THE RIGHT ANSWER IS BELOW HOW CAN I USE EXCEL
Problem 2: You are offered the opportunity to put some money away for retirement. You will receive 6
annual payments of $20,000 each beginning in 25 years. How much would you be willing to invest today if
you desire an interest rate of 9 % ? Solution: Cash-flow key method CF0 = 0; CO1 = 0; F01 = 24; CO
2 = 20,000; FO2 = 6; CPT NPV I(9) NPV ($11,340.85)
NPV (9%, {0, 0, REP (20,000, 6, 1)}, {0, 24, 6})
{0, 0, REP (20,000, 6, 1)} :
=

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Please put the solution in an excel spreadsheet to get the correct answer and please explain the steps for each formula in excel You are offered the opportunity to put some money away for retirement. You will receive 10 annual payments of $5,000 each beginning in 26 years. If you desire an annual interest rate of 12% compounded monthly, answer the following two questions: How much would you be willing to invest today? How much would the money (that you will be willing to invest today) be worth at the end of your last payment (i.e., in year 35)? Amount that you would be willing to invest today = PV = $5,000/(1.01)26*12 + $5,000/(1.101)27*12 + $5,000/(1.01)28*12 + $5,000/(1.01)29*12 + $5,000/(1.01)30*12 + $5,000/(1.01)31*12 + $5,000/(1.01)32*12 + $5,000/(1.01)33*12 + $5,000/(1.01)34*12 + $5,000/(1.01)35*12 = $1,388.638 Amount that would the money worth at the end of your last payment = FV = $1388.64 * (1+ 0.01)35*12 = $90691.52
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