Question

for PV as the expression ($505)((1+0.004) - 1) ? (0.004)(1+0.004) Question 9 of 10 Which of these groups of values plugged into the TVM Solver of a graphing calculator will return the same value for PV as the expression ( $ 505 ) ( ( 1 + 0.004 ) - 1 ) ? ( 0.004 ) ( 1 + 0.004 )​

Answer 1

The TVM solver is a tool found in graphing calculators, that solve Time Value of Money problems.

The group of values that will return the same value as the given expression is;

D. N = 24; I% = 3.6; PV =; PMT = -415; FV = 0; P/Y = 12; C/Y = 12; PMT :END

What is Present Value?

Present value (PV) formula finds application in finance to calculate the present day value of an amount that is received at a future date.

In the TVM solver, we have;

I = The annual percentage rate

N = n × t

t = The number of years

PV = Present value

PMT = Payment

P/Y = Number of payments per year = n

C/Y = Number of compounding periods per year = n

The formula for monthly payment is presented as follows;

$P = \frac{M[(1+r/n)^{nt} - 1]}{(r/n)(1+r/n)^{nt}}$

M = $\frac{P.(r/n)(1+ r/n)^{nt} }{(1+ r/n)^{nt} - 1}$

Therefore, we get;

Where;

M = PMT = -415

P = PV

r = I

P/Y = n = 12

Therefore;

0.003 = I/12

I = 0.003 X 12 = 3.6%

N = n X t = 24

The value of the equation is the present value, PV = ?

When payment are made based on the PV, we have FV = 0

The group of values the same value as the expression

P = $\frac{(415)[(1+0.003)^{24}-1]}{(0.003)(1+0.003)^{24}}$

when plugged into the TVM solver of a calculator is;

D. N = 24; I% = 3.6; PV =; PMT = -415; FV = 0; P/Y = 12; C/Y = 12; PMT :END

Learn more about Present Value Solver from:

brainly.com/question/1759639

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