One of the principles of finance that we have looked at; is Time value of money - the math of finance whereby interest is earned by saving or investing money. Money can grow over time if we can save (invest) it and earn a return on our savings (investment).
Regarding the above statement, you are required to pick up a separate product/service for each of the following (so 6 different products/services) and calculate the present value or future value (one of the two, whichever is feasible with the information gathered) of a
single sum using compound interest
ordinary annuity
annuity due
deferred annuity
perpetuity
stream of unequal amounts
You are advised to keep a copy of the choice of your products/services in the appendix section of the assignment.
You can get a copy/details of such products/services from Financial intermediaries pamphlets or from their websites, stock exchange website (listed entities), real estate brokers/agents website, media etc,
Provide proper calculations after stating the formulas and the variables (periods, rate per period and cash flow per period).
To obtain your other variables, which may not be available in the statements/documents, you may use either the RBF documents, financial intermediaries’ releases, or particular indexes, for your calculations. These need to be referenced properly and where possible a copy needs to be placed in the appendix section. (Do not use unrealistic date ie. exaggerated rates, maturity and other data).
Where real data is not feasible then use numbers that are applicable to the current market situation of your area (eg. Rent per month for Suva $800, Nadi $500, Ba & Labasa $300), that is data that can be easily verified.
Note:
The assignment must have a Title page (includes the ID numbers and full names of all the members), Introduction, Table of Contents, Body-Findings and Discussion (includes numbers 1-6), Conclusion and Bibliography.
It should be typed in Times New Roman with font size 12 and 1.5 line spaced.
Please ensure that the assignment does not exceed 15 pages (this excludes the appendix) and should not include any unnecessary information.