1.
Future value uses compounding technique to find the future
values of cash flows
2.
To find the present value of future cash flows, we use discounting
technique.
3.
What is the future value of RM300 if compounded 15% annually
for the next 3 years?
4.
Calculate the present value of RM1,000 to be paid 5 years
from today, if the prevailing interest rate is 8% per annum.
5.
Assuming the interest rate is 10% per annum, what is the future
value of an annuity (FVA) of RM100 which is to be paid at
the end of each year for the next 3 years?
6.
Assuming the interest rate is at 8% per annum, find the present
value of an annuity (PVA) of RM100 that will be paid at the
end of each year for the next 5 years?
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