Re: ::: vuaskari.com ::: Mth 302 Ques 3

plzzzzzzzzzzzzzzzzz snd me Q2 ndQ3

On Wed, Oct 26, 2011 at 11:36 PM, mc110400379 Waqas Ahmad <mc110400379@vu.edu.pk> wrote:

please read your question carefully

On Wed, Oct 26, 2011 at 10:29 AM, mc110400004 Maliha Saleem <mc110400004@vu.edu.pk> wrote:

in ques 3 we need to find discounted value not present value

On Wed, Oct 26, 2011 at 9:31 PM, mc110400379 Waqas Ahmad <mc110400379@vu.edu.pk> wrote:

Maliha You r using very tough Formula you have to use this one

Pv=FV/(1+r)^n You can get easily your answer for confirmation go to Google and search present value online calculate then write your inputs you will get answer

On Wed, Oct 26, 2011 at 7:28 AM, mc110400004 Maliha Saleem <mc110400004@vu.edu.pk> wrote:

Salam,

I have try to solve this if anyone can check or compare it with your answer and please tell me is it correct or not.

DV=A=r(1-1/(1+i)^n/i

i=12/4=3

n=15/4=3.75

Dv=10,000(1-1/(1+.03)^3.75/.03)

   = 10,000(1-1/(1.03)^125)

   = 10,000(1-1/.0248)

   = 10,000(.975)

   = 9751.48

 I have used this example to solve this question:

How much money deposited now will provide payments of Rs. 2000 at the end of each halfyear

for 10 years if interest is 11% compounded six-monthly.

Amount of annuity = 2000Rs

Rate of interest = i = 11% / 2 = 0.055

Number of periods = n = 10 × 2 = 20

DISCOUNTED VALUE = 2,000 x ((1-1 / (1+0.055)^20) / 0.055)

= 2,000 x11.95

=23,900.77

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MBA(1st Semester)

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Thanks,

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Skype: Waqas.Ahmad.Sandhu

MBA(1st Semester)

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