For each of the following cases, indicate (a) what interest rate columns and (b) what...

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Accounting

For each of the following cases, indicate (a) what interest rate columns and (b) what number of periods you would refer to in looking up the discount rate. (1) In Table 3 (Present Value of 1):

Annual Rate

Number of Years Involved

Discounts per Year

Case A 9% 4 Annually
Case B 11% 10 Annually
Case C 9% 9 Semiannually

(a)

(b)

Case A

enter interest rate in percentages %

enter a number of periods periods

Case B

enter interest rate in percentages %

enter a number of periods periods

Case C

enter interest rate in percentages %

enter a number of periods periods

(2) In Table 4 (Present Value of an Annuity of 1):

Annual Rate

Number of Years Involved

Number of Payments Involved

Frequency of Payments

Case A 11% 20 20 Annually
Case B 12% 8 8 Annually
Case C 12% 7 14 Semiannually

(a)

(b)

Case A

enter interest rate in percentages %

enter a number of periods periods

Case B

enter interest rate in percentages %

enter a number of periods periods

Case C

enter interest rate in percentages %

enter a number of periods periods

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