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 worksheetPractise 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
years012n = ?€5 000€12 500

You deposit €5 000 at 6% 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 €12 500?

PV = €5 000FV = €12 500i = 6%
n = years
2.Easy
years012n = ?€2 000€4 000

You deposit €2 000 at 7% 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 €4 000?

PV = €2 000FV = €4 000i = 7%
n = years
3.Medium
years0123…9PV = ?€15 000

You need €15 000 in 9 years. An account pays 3% per year, compounded quarterly. How much must you deposit today? Find the present value PV.

FV = €15 0003% / 4n = 9
PV = €
4.Medium
periods0123…36511 + EAR = ?24% / 365

A credit card charges a nominal interest rate of 24% per year, compounded daily. Find the effective annual rate EAR in percent.

r = 24%m = 365
EAR = %
5.Hard
months0123…252€150€150€150FV = ?

You save €150 at the end of every month for 21 years. The account pays 4.2% per year, compounded monthly. How much have you saved at the end? Find FV.

A = €1504.2% / 12N = 252
FV = €
6.Hard
months0123…132A?AA€75 000

You want €75 000 in 11 years. You save the same amount at the end of every month in an account paying 4.8% per year, compounded monthly. Find the monthly deposit A.

FV = €75 0004.8% / 12N = 132
A = €

Answer key

  1. 1. n = 16 years
  2. 2. n = 11 years
  3. 3. PV = 11462 €
  4. 4. EAR = 27.11 %
  5. 5. FV = 60515 €
  6. 6. A = 432.4 €

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