A local CPA has told you "Just give me a table of the factors for the Present Value of $1 and I can easily create all those other tables in an Excel spreadsheet." Explain how this would be done.
What will be an ideal response?
?From a table of factors for Present Value of $1 (pn,i) the CPA can createFuture value of $1 factors = 1/(pn,i)Present value of ordinary annuity factors = cumulative sum of (pn,i) within each interest rate columnFuture value of ordinary annuity factors = cumulative sum of future value factors in (a) above within each interest rate columnPresent value of annuity due factors = Present value of ordinary annuity factors in (b) above times (1 + i)?
| a. | estimation of the future cash flows, including the timing, amount, and risk of those cash flows |
| ? | ? |
| b. | estimation of the interest rate |
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Decide whether the statement makes sense. Explain your reasoning.Raul is planning to invest his money for one year only. He chose an account paying simple interest at 5% per year which was clearly a better deal than an account paying a 4.6% APR with interest compounded annually.
What will be an ideal response?
You need a loan of $100,000 to buy a condo. Calculate your monthly payments and total closing costs for each choice.Choice 1: 30-year fixed rate at 4.5% with closing costs of $1341 and no pointsChoice 2: 20-year fixed rate at 4% with closing costs of $1341 and 4 points
A. Choice 1: $506.69; $1341 Choice 2: $605.98; $5341 B. Choice 1: $516.61; $1341 Choice 2: $615.99; $2682 C. Choice 1: $510.04; $1341 Choice 2: $609.07; $5091 D. Choice 1: $496.67; $1341 Choice 2: $595.94; $5141
Find the exact value of the expression.cos 
A. 
B. 
C. 
D. 1
What model of cognitive development seeks to identify the ways in which individuals take in, access, utilize, and store information?
A. Piagetian B. neo-Freudian C. information processing D. operant conditioning