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Present Value of 1 Future Value of 1
Present Value of an Annuity of 1
Future Value of an Annuity of 1
A company is creating a fund today by depositing $65,763. The fund will grow to $90,000 after 8 years. What annual interest rate is the company earning on the fund?
Market Price
The current exchange price for an asset or service in the marketplace.
Discount Rate
The interest rate used to determine the present value of future cash flows or to discount future obligations.
Maturity
The predetermined date on which a financial instrument, loan, or security reaches its final payment, at which point the principal amount must be repaid.
Zero-Coupon Bond
A debt security that doesn't pay periodic interest, sold at a discount from its face value, and repays the face value at maturity.
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