Interest Rates, Investments, and Capital Markets Chapter Sixteen Interest Rates, Investments, and Capital Markets

Table 16.1 Interest and the Frequency of Compounding © 2007 Pearson Addison-Wesley. All rights reserved.

Table 16.2 Future Value, FV, to Which $1 Grows by the End of Year t at Various Interest Rates, i, Compounded Annually, $ © 2007 Pearson Addison-Wesley. All rights reserved.

Table 16.3 Present Value, PV, of a Payment of $1 at the End of Year t at Various Interest Rates, i, Compounded Annually, $ © 2007 Pearson Addison-Wesley. All rights reserved.

Figure 16.1 Present Value of a Dollar in the Future © 2007 Pearson Addison-Wesley. All rights reserved.

Table 16.4 Present Value, PV, of a Flow of $10 a Year for t Years at Various Interest Rates, i, Compounded Annually, $ © 2007 Pearson Addison-Wesley. All rights reserved.

Application (Page 558) Durability of Telephone Poles © 2007 Pearson Addison-Wesley. All rights reserved.

Figure 16.2 Annual Earnings of High School and College Graduates © 2007 Pearson Addison-Wesley. All rights reserved.

Table 16.5 Present Value of Earnings © 2007 Pearson Addison-Wesley. All rights reserved.

Figure 16.3 Price of an Exhaustible Resource © 2007 Pearson Addison-Wesley. All rights reserved.

Table 16.6 Price and Quantity of Coal Reflecting the Amount of Coal and the Interest Rate © 2007 Pearson Addison-Wesley. All rights reserved.

Figure 16.4 First-Year Price in a Two-Period Model © 2007 Pearson Addison-Wesley. All rights reserved.

Application (Page 567) Redwood Trees © 2007 Pearson Addison-Wesley. All rights reserved.

Figure 16.5 Capital Market Equilibrium © 2007 Pearson Addison-Wesley. All rights reserved.

Figure 16.6 How Government Borrowing Squeezes Out Private Investment © 2007 Pearson Addison-Wesley. All rights reserved.