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…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 3% interest per year. How much must be invested today? Find PV.

A = €10 000i = 3%
PV = €
2.Easy
years0123…9PV = ?€5 000€5 000€5 000…

A foundation wants to pay a prize of €5 000 at the end of every year, forever. The fund earns 3% interest per year. How much must be invested today? Find PV.

A = €5 000i = 3%
PV = €
3.Medium
years0123…14PV = ?€8 000€8 000€8 000€8 000

An annuity pays €8 000 at the end of each year for 14 years. The interest rate is 8% per year. Find the present value PV of the annuity.

A = €8 000i = 8%n = 14
PV = €
4.Medium
years01234567€1 000FV = ?

You invest €1 000 at 8% per year with continuous compounding. Find the value FV after 7 years.

PV = €1 000r = 8%t = 7
FV = €
5.Hard
months0123…60€12 000A?AAA

A loan of €12 000 is repaid with equal monthly payments over 5 years. The interest rate is 4.8% per year, compounded monthly. Find the monthly payment A.

P = €12 0004.8% / 12N = 60
A = €
6.Hard
months0123…348€150€150€150FV = ?

You save €150 at the end of every month for 29 years. The account pays 5.4% per year, compounded monthly. How much have you saved at the end? Find FV.

A = €1505.4% / 12N = 348
FV = €

Answer key

  1. 1. PV = 333333 €
  2. 2. PV = 166667 €
  3. 3. PV = 65954 €
  4. 4. FV = 1751 €
  5. 5. A = 225.4 €
  6. 6. FV = 125689 €

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