Deliverable 5 Time Value of Money

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Scenario
You are currently a financial analyst within Blue Butterfly Company, a small family owned corporation that manufactures magnetic bookmarks. Blue Butterfly management would like to provide a contributory pension plan for five current members of the management team. Management believes they can afford to invest $10,000 per month for the next 10 years. They anticipate the rate of return will be 8%. At the end of the 10 years, they expect retiring employees to start withdrawing from this pension plan. The anticipated longevity after retirement is expected to be 20 years, and management believes the rate of return on the investment to continue through the 20 years of retirement payout. Management has requested your assistance in determining relevant values so they can finalize the components of the pension plan.

Instructions
Using Excel, develop a spreadsheet presentation that covers the following:

Explain the concept of the time value of money, including the present and future value of $1, and present and future value of an annuity. Explain the difference between the annuity payment at the beginning and the end of the period.
Demonstrating the future value of the monthly cash investments for the next 10 years given the investment earns the projected 8% annual return.
In Excel, calculate the total monthly payment that can be withdrawn from the investment over 20 years given the anticipated 8% annual rate of return continues to be met through the 20 years of retirement. Provide management the monthly payment amount that will be available to payout in monthly pension amounts.
Assuming all five members of management will receive the same monthly annuity payment, provide management the proposed monthly retirement payment that can be offered to these five members of management.
Use the built-in cash flow functions in Excel to perform all calculations, explaining in the adjacent cells the values you entered the function.

Sample Solution

 

 

 

The Revenge of Montressor

“Amontirado’s wooden barrel” is a frightfulness short story composed by Edgar Allan Poe. The tale of this retribution starts with Montresor, one of the legend. Montresor vows to vindicate his companion Futunato who is another hero. What is the genuine purpose behind his vengeance? “I attempted to bear a thousand people at Fortunato yet when I risked offending me as though I swear retribution,” Poe opened up a story.

In the barrel of Amontillado, Edgar Allen Poe demonstrated the subject of vengeance. In the story, Montressor recounts to a story, feels that he is limited by Fortunado, vows to fight back against him. Montressor attempted to demonstrate his future wrongdoing to the peruser. “At the point when retaliation surpasses that entertainer, that slip-up will be unraveled, and it was not in like manner recognized when the Avengers didn’t cause themselves to feel an inappropriate individual.” (Poe 101) Fortunado said he I didn’t realize that he offended him. It is Montressor’s mix-up. Montressor thought he was sufficient to take care of. “I attempted to persevere through 1,000 harmed individuals at Fortunard, yet when he offended me and faced the challenge of promises to swear retribution” (Poe 101) Idea of ??revenge is … More

“Amontirado’s wooden barrel” is a repulsiveness short story composed by Edgar Allan Poe. The narrative of this vengeance starts with Montresor, one of the legend. Montresor promises to vindicate his companion Futunato who is another hero. What is the genuine purpose behind his vengeance? “I attempted to persevere through a thousand people at Fortunato, however when I gambled offending me to fight back,” Poe opened up a story.

AMONTILLADO ‘s CASK Edgar Allen Poe’ s Amontillado Cask is a tale about dread and vengeance. The clouded side of humankind is reflected in the job of Montres and its casualty Fortunato. The story starts with Montressor’s promise of retribution. When Montresor stated, this was demonstrated in the primary sentence: “I am one thousand of Futunat that I can stand to hurt, yet when he is offended, I will fight back I swore … “Individuals … – Amitilyad’s wooden barrel by Edgar Allan Poe? Amontillado’s wooden barrel? “Edgar Allan Poe makes us angry.The incline utilizes explicit components to pass on passionate influence.He is evil utilizing parody, enlightening setting subtleties, and dull character characteristics Some individuals utilize the slant additionally Some individuals said the storyteller is the main on-screen character of profound support.

 

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