Time value of money worksheet with answers

Free printable Time value of money worksheet: 6 problems from easy to exam level, with an answer key. Print it or save it as a PDF.

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Name: ____________________   Date: ____________

1.Easy
years0123…8€2 000€2 530

An investment of €2 000 grows to €2 530 in 8 years with annual compounding. Find the annual interest rate i in percent.

PV = €2 000FV = €2 530n = 8
i = %
2.Easy
years0123…9PV = ?€10 000€10 000€10 000…

A foundation wants to pay a prize of €10 000 at the end of every year, forever. The fund earns 2.5% interest per year. How much must be invested today? Find PV.

A = €10 000i = 2.5%
PV = €
3.Medium
years012PV = ?€10 000

You need €10 000 in 2 years. An account pays 4.8% per year, compounded quarterly. How much must you deposit today? Find the present value PV.

FV = €10 0004.8% / 4n = 2
PV = €
4.Medium
years0123…20PV = ?€500€500€500€500

An annuity pays €500 at the end of each year for 20 years. The interest rate is 10% per year. Find the present value PV of the annuity.

A = €500i = 10%n = 20
PV = €
5.Hard
months0123…240€300€300€300FV = ?

You save €300 at the end of every month for 20 years. The account pays 7.2% per year, compounded monthly. How much have you saved at the end? Find FV.

A = €3007.2% / 12N = 240
FV = €
6.Hard
years0123456€2 000€2 000€2 000FV = ?

You deposit €2 000 at the start of every year for 6 years, the first deposit today. The account pays 4% per year. How much is in the account at the end of year 6? Find FV.

A = €2 000i = 4%n = 6
FV = €

Answer key

  1. 1. i = 2.982 %
  2. 2. PV = 400000 €
  3. 3. PV = 9090 €
  4. 4. PV = 4257 €
  5. 5. FV = 160129 €
  6. 6. FV = 13797 €

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