Chech 3
Use future value and present value calculations to determine the following:
(a) The future value of a $1,000 savings deposit after eight years at an annual interest rate of 4 percent. Use Exhibit 1-A. (Round time
value factor to 3 decimal places and final answer to 2 decimal places.)
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points
Future value
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(b) The future value of saving $2.480 a year for five years at an annual interest rate of 3 percent. Use Exhibit 1-B. (Round time value
factor to 3 decimal places and final answer to 2 decimal places.)
Future value
(c) The present value of a $2,530 savings account that will earn 2 percent interest for four years. Use Exhibit 1-C (Round time value
factor to 3 decimal places and final answer to 2 decimal places.)
Present value
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