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.

New worksheet Practise online with hints

For teachers: free to print, copy and use in class. Every new worksheet has new values and its own answer key. A link to ExamProblems on your course page is appreciated.

Name: ____________________ Date: ____________

1.Easy

A foundation wants to pay a prize of €2 000 at the end of every year, forever. The fund earns 4% interest per year. How much must be invested today? Find PV.

A = €2 000i = 4%

PV = €

2.Easy

You deposit €2 000 at 2% interest per year, compounded annually (interest is added at the end of each year). After how many whole years n does the balance first reach at least €5 000?

PV = €2 000FV = €5 000i = 2%

n = years

3.Medium

You need €50 000 in 10 years. An account pays 3.6% per year, compounded monthly. How much must you deposit today? Find the present value PV.

FV = €50 0003.6% / 12n = 10

PV = €

4.Medium

You invest €2 000 at 5% per year with continuous compounding. Find the value FV after 18 years.

PV = €2 000r = 5%t = 18

FV = €

5.Hard

You save €200 at the end of every month for 16 years. The account pays 3.6% per year, compounded monthly. How much have you saved at the end? Find FV.

A = €2003.6% / 12N = 192

FV = €

6.Hard

You save €300 at the end of every month for 26 years. The account pays 4.8% per year, compounded monthly. How much have you saved at the end? Find FV.

A = €3004.8% / 12N = 312

FV = €

Answer key

1. PV = 50000 €
2. n = 47 years
3. PV = 34903 €
4. FV = 4919 €
5. FV = 51825 €
6. FV = 185603 €

Full step-by-step solutions: practise this topic on examproblems.com.