FINANCIAL ACCT-CONNECT
8th Edition
ISBN: 9781266627903
Author: Wild
Publisher: INTER MCG
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Chapter B, Problem 6E
Summary Introduction
Concept Introduction:
Future value is the value of present money after a period of time. Future value of present money is calculated using the interest rate and period. The present value of a sum is multiplied with the future value factor to get the future value.
To calculate: the future value of the investment.
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Catten, Incorporated, Invests $158,170 today earning 7% per year for six years. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use
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Compute the future value of the investment six years from now.
Present Value
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Catten, Inc., invests $163,170 today earning 7% per year for nine years. Use Table B.2 to compute the future value of the investment nine years from now. (Round the amount to the nearest dollar.)
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