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AMA811S-ADVANCEDMANAGEMENT ACCOUNTING -1STOPP- 2024 |
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nAmlBIA unlVERSITY
OF SCIEnCE Ano TECHnOLOGY
FACULTY OF COMMERCE, HUMAN SCIENCES AND EDUCATION
DEPARTMENT OF ECONOMICS, ACCOUNTING AND FINANCE
QUALIFICATION: BACHELOR OF ACCOUNTING (HONOURS)
QUALIFICATION CODE: 08BOAH
COURSE CODE: AMA811S
SESSION: JUNE 2024
LEVEL:8
COURSE NAME: ADVANCED MANAGEMENT
ACCOUNTING
PAPER: THEORY AND CALCULATIONS
DURATION: 3 HOURS
MARKS: 100
EXAMINER
MODERATOR
FIRST OPPORTUNITY EXAMINATION QUESTION PAPER
Lameck Odada
Lazarus Shinkeva
INSTRUCTIONS
1. This question paper consists of FOUR (4) questions.
2. Answer ALL FOUR questions in blue or black ink only. NO PENCIL and TIPEX.
3. Start each question on a new page, number the answers correctly and clearly.
4. Write clearly, and neatly and show all your workings/assumptions.
5. Unless otherwise stated, work with four (4) decimal places in all your calculations and
round off only final answers to two (2) decimal places.
6. Questions relating to this examination may be raised in the initial 30 minutes after the start
of the examination. Thereafter, candidates must use their initiative to deal with any
perceived error or ambiguities and any assumptions made by the candidate should be
clearly stated.
PERMISSIBLE MATERIALS
1. Silent, non-programmable calculators
THIS QUESTION PAPER CONSISTS OF _7 _ PAGES (including this front page, not tables)
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QUESTION 1
[35 MARKS]
Charm Incorporated (hereafter charm), a software company, has developed a new game,
'Fingo', which it plans to launch in the near future. Sales of the new game are expected to be
strong, following a favourable review by a popular magazine. Charm has been informed that
the review will give the game a 'Best Buy' recommendation. Sales volumes, production
volumes and selling prices for 'Fingo' over its four-year life are expected to be as follows:
Year
1
2
3
4
Sales and production (units)
150 000
70 000
60 000
60 000
Selling price (N$ per game)
25
24
23
22
Financial information on 'Fingo' for the first year of production is as follows:
Direct material cost
N$5.40 per game
Other variable production cost
N$6.00 per game
Fixed costs
N$4.00 per game
Advertising cost to stimulate demand are expected to be N$650 000 in the first year of
production and N$100 000 in the second year of production. No advertising costs are expected
in the third and fourth years of production. Fixed costs represent incremental cash fixed
production overheads. 'Fingo' will be produced on a new production machine costing N$800
000. Although this production machine is expected to have a useful life of up to ten years,
government legislation allows Charm to claim the capital cost of the machine against the
manufacture of a single product. Capital allowances will therefore be claimed on a straight-
line basis over four years.
Charm pays tax on profits at a rate of 30% per year and tax liabilities are settled in the year in
which they arise. Charm uses an after-tax discount rate of 10% when appraising new capital
investments. Ignore inflation.
REQUIRED
MARKS
Identify any FIVE (5) factors that Charm should consider in evaluating this
5
a)
proposed investment.
Calculate the Net Present Value (NPV) of the proposed investment and 25
b) conclude whether the investment is financially viable or not. Show all your
figures to the nearest N$1 000.
Calculate the Internal Rate of Return (IRR) of the proposed investment to
5
c) the nearest whole number. Show all your figures to the nearest N$1
000.
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QUESTION 2
[30 MARKS]
DRAB Limited (DRAB) has been allocated five million Namibia dollars for capital expansion in
the forthcoming year. The management of DRAB Ltd believes that the company must spread
its risk by investing in projects with different risk profiles and has identified two possible
investments (projects A and B). The capital available to DRAB Ltd is sufficient to invest in only
one of the projects. The following information has been made available:
Economic growth
(annual averaae)
Zero
3%
6%
Probability of
occurrence
0.3
0.4
0.3
Estimated return %
Project
Project
Existing
A
B
investments
14
8
6
10
6
12
8
22
16
Book value
Market value
N$5 million
N$5 million
N$5 million N$10 million
N$5 million N$15 million
The division manager has requested you as the accountant to determine which of the two
projects should be accepted using the portfolio theory to make the selection.
REQUIRED
MARKS
Calculate the expected returns together with the risk for both projects
9
a)
and the existing investments
Determine the expected returns of the portfolio, assuming that DRAB
6
b) forms a portfolio of each project and the existing investments. Conclude
on whether DRAB should invest in the portfolios or not.
Determine the covariance of each project (A and B) with the existing
6
c)
investments and interpret your answers
Determine the risk of the portfolio, assuming that DRAB forms a portfolio
8
d) of each project and the existing investments. Conclude on whether
DRAB should invest in the portfolios or not.
e) Differentiate systematic risk from unsystematic risk
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QUESTION 3
[10 MARKS]
Mobe Company manufactures electronic mobility scooters. The company is split into two
divisions: the scooter division (Division S) and the motor division (Division M). Division M
supplies electronic motors to both Division S and to external customers. The two divisions run
as autonomously as possible, subject to the group's current policy that Division M must make
internal sales first before selling outside the group; and that Division S must always buy its
motors from Division M. However, this company policy, together with the transfer price which
Division M charges Division S, is currently under review. Details of the two divisions are given
below.
Division S
The budget of Division S for the coming year shows that 35,000 electronic motors will be
needed. An external supplier could supply these to Division S for N$800 each.
Division M
Division M has the capacity to produce a total of 60, 000 electronic motors per year. Details of
Division M's budget, which has just been prepared for the forthcoming year, are as follows:
Budgeted sales volume (units)
60 000
Selling price per unit for external sales of motors
N$850
Variable costs per unit for external sales of motors
N$770
The variable cost per unit for motors sold to Division S is N$30 per unit lower due to cost
savings on distribution and packaging. Maximum external demand for the motors is 30 000
units per year.
REQUIRED
MARKS
Assuming that the group's current policy could be changed, advise, using suitable 10
calculations, the number of motors which Division M should supply to Division S
in order to maximise group profits. Recommend the transfer price or prices at
which these internal sales should take place. All relevant workings must be shown.
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QUESTION 4
[25 MARKS]
Fruit Lover's Market (FLM) is a supermarket chain that operates franchised grocery stores and
convenience stores in Southern Africa. FLM currently offers a FLM card to Namibian
customers, which enable consumers to purchase FLM products on credit. FLM does not
currently offer any early settlement discounts. You have also been provided with the following
extracts from the FLM Integrated report as at 29 February 2024:
Trade Receivables
Inventory
Trade payables
Bank Overdraft
Note
2
1
2024
N$
61969784
65 580 906
25 270 622
9 929 334
Revenue
Cost of Sales
Gross Profit
Operatinq profit before finance income and finance expense
Finance income
Finance expenses
Profit for the year from continuinq operations
3
430 798 744
(257 862 994)
172 935 750
17 829 811
1 785 130
(6 467 307)
9 265 281
Note 1
Merchandise
Merchandise in transit
Impairment of inventory
Inventory
2024
N$
66 620 149
2 966 753
(4 005 996)
65 580 906
Note 2
Trade receivables
Impairment (bad debts)
Trade and other receivables
2024
N$
62 611 923
(642 139)
61969784
The impairment allowance has been raised against trade receivables that are considered to
be impaired due to uncollectable amounts and credit claims.
Credit risk.
The FLM's exposure to credit risk is influenced mainly by the individual characteristics of each
customer. The FLM's most significant customer, a domestic retailer, accounts for N$50 681
081 of the trade receivables carrying amount at 29 February 2024. Even though FLM has
significant credit risk exposure to this client, it was noted that this retailer has a great attitude
towards paying their debts, and currently always settle their accounts within the credit terms
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as stipulated. Normal trading terms are 50 days, these are however not always adhered to.
Credit clients are not required to provide collateral for products purchased on credit.
FLM has policies to ensure that sales of products are made to customers with an appropriate
credit history. An established credit policy exists under which each new customer is analysed
individually for creditworthiness before the FLM's standard payment and delivery terms, and
conditions are offered. The FLM's review of creditworthiness includes external ratings when
available, and in some cases bank references.
Note 3
27% of sales relate to cash sales, while the remaining 73% are conducted using the FLM card.
FLM does not offer any early settlement discounts currently.
Future growth strategy
In order to improve its current Namibian cash flow position, FLM is planning to actively start
marketing the FLM card to customers. In order to remain competitive in this market, they are
pondering credit terms in line with the other related credit providers:
• 5% early settlement discounts, if accounts are settled within 7 days (which corresponds
to the cooling off period for on-line purchase agreements). It is expected that 20% of
credit sales will be paid within 7 days.
• 30 days credit if not taking the discount.
• It is expected that bad debts will increase to 5% of trade receivables.
• It is expected that credit sales will increase by 10% should the FLM card be marketed
more actively, whereas cash sales will remain unaffected.
• Gross profit percentages will remain constant.
• Money market investments in Namibia currently offer 6% interest per annum. It is
expected that the increase in credit sales, as well as a quicker debt collection period,
will result in a positive cash balance in the future.
Another alternative avenue of improving the current Namibian cash flow situation of FLM, is
to consider factoring the company receivables with a banking institution. FLM is hoping that
by factoring their debtors' books, the collection of debt will also improve.
Assumptions
• Assume all payments on credit are received at the end of each month.
• Round up all days to the nearest whole number.
• Assume that there are 365 days in a calendar year.
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REQUIRED
MARKS
Explain five (5) factors, credit managers should consider when 10
a)
assessing the creditworthiness of a potential customer.
Analyse the cash flow conversion cycle of FLM by assessing the
following ratios for 2024:
• Debtors Days
2
b)
• Inventory Days
2
• Creditors Days
2
• Cash conversion cycle
1
Discuss any four (4) methods of reducing the length of the cash
8
c)
operating cycle
END OF EXAMINATION QUESTION PAPER
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TABLE A
Future value interest factor of $1 per period at i% for n periods, FVIF(i,n).
Period
1%
1 1.010
2 1.020
3 1.030
4 1.041
5 1.051
6 1.062
7 1.072
8 1.083
9 1.094
10 1.105
2%
1.020
1.040
1.061
1.082
1.104
1.126
1.149
1.172
1.195
1.219
3%
1.030
1.061
1.093
1.126
1.159
1.194
1.230
1.267
1.305
1.344
4%
1.040
1.082
1.125
1.170
1.217
1.265
1.316
1.369
1.423
1.480
5%
1.050
1.103
1.158
1.216
1.276
1.340
1.407
1.477
1.551
1.629
6%
1.060
1.124
1.191
1.262
1.338
1.419
1.504
1.594
1.689
1.791
7%
1.070
1.145
1.225
1.311
1.403
1.501
1.606
1.718
1.838·
1.967
8%
1.0.80
1.166
1.260
1.360
1.469
1.587
1.714
1.851
1.999
2.159
9%
1.090
1.188
1.295
1.412
1.539
1.6i7
1.828
1.993
2.172
2.367
10%
1.100
1.210
1.331
1.464
1.611
1.772
1.949
2.144
2.358
2.594
11%
12%
1.110 1.120
1.232 1.254
1.368 1.405
1.518 1.574
1.685 ·_ 1.762
1.870 1.974
2.076 2.211
2.305 2.476
2.558 2.773
2.839 3.106
13%
1.130
1.2i7
1.443
1.630
1.842
2.082
2.353
2.658
3.004
3.395
14%
1.140
1.300
1.482
1.689
1.925
2.195
2.502
2.853
3.252
3.707
11 1.116 1.243 1.384 1.539 1.710 1.898 2.105 2.332 2.580
12 1.127 1.268 1.426 1.601 1.796 2.012 2.252 2.518 2.813
2.853
3.138
3.152
3.498
3.479
3.896
3.836
4.335
4.226
4.818
13 1.138
14 1.149
15 1.161
16 1.173
1.294
1.319
1.346
1.373
1.469
1.513
1.558
1.605
1.665
1.732
1.801
1.873
1.886
1.980
2.079
2.183
2.133
2.261
2.397
2.540
2.410
2.579
2.759
2.952
2.720
2.937
3.172
3.426
3.066
3.342
3.642
3.970
3.452
3.797
4.177
4.595
3.883
4.310
4.785
5.311
4.363
4.887
5.474
6.130
4.898
5.535-
6.254
7.067
· 5.492
6.261
7.138
8.137
17 1.184 1.400 1.653 1.948 2.292 2.693 3.159 3.700 4.328
5.054
5.895
6.866
7.986
9.276
18 1.196 1.428 1.702 2.026 2.407 2.854 3.380 3.996 4.717 5.560 6.544 7.690 9.024 10.575
19 1.208 1.457 1.754 2.107 2.527 3.026 3.617 4.316 5.142
20 1.220 1.486 1.806 2.191 2.653 3.207 3.870 4.661 5.604
6.116
6.727
7.263
8.062
8.613 10.197 12.056
9.646 11.523 13.743
25 1.282
30 1.348
35 1.417
40 1.489
50 1.645
1.641
1.811
2.000
2.208
2.692
2.094
2.427
2.814
3.262
4.384
2.666
3.243
3.946
4.801
7.107
3.386
4.322
5.516
7.040
11.467
4.292
5.743
7.686
10.286
18.420
5.427
7.612
10.677
14.974
29.457
6.848
10.063
14.785
21.725
46.902
8.623
13.268
20.414
31.409
74.358
10.835
17.449
28.102
45.259
117.391
13.585
22.892
38.575
65.001
184.565
17.000
29.960
52.800
93.051
289.002
21.231
39.116
72.069
132.782
450.736
26.462
50.950
98.100
188.884
700.233
15%
1.150
1.323
1.521
1.749
2.011
2.313
2.660
3.059
3.518
4.046
4.652
5.350
6.153
7.076
8.137
9.358
10.761
12.375
14.232
16.367
32.919
66.212
133.176
267.864
1.083.657
16%
1.160
1.346
1.561
1.811
2.100
2.436
2.826
3.278
3.803
4.411
5.117
5.936
6.886
7.988
9.266
10.748
12.468
14.463
16.777
19.461
40.874
85.850
180.314
378.721
1.670.704
17%
1.170
1.369
1.602
1.874
2.192
2.565
3.001
3.511
4.108
4.807
5.624
6.580
7.699
9.007
10.539
12.330
14.426
16.879
19.748
23.106
50.658
111.065
243.503
533.869
2.566.215
18%
1.180
1.392
1.643
1.939
2.288
2.700
3.185
3.759
4.435
5.234
6.176
7.288
8.599
10.147
11.974
14.129
16.672
19.673
23.214
27.393
62.659
143.371
327.997
750.378
3.927.357
19%
1.190
1.416
1.685
2.005
2.386
2.840
3.379
4.021
4.785
5.695
6.777
8.064
9.596
11.420
13.590
16.172
19.244
22.901
27.252
32.429
77.388
184.675
440.701
1,051.668
5.988.914
20%
1.200
1.440
1.728
2.074
2.488
2.986
3.583
4.300
5.160
6.192
7.430
8.916
10.699
12.839
15.407
18.488
22.186
26.623
31.948
38.338
95.396
237.376
590.668
1,469.772
9.100.438
TABLE B
Present value interest factor of $1 per period at io/ofor n periods, PVIF(i,n).
Period
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
25
30
35
40
50
1%
0.990
0.980
0.971
0.961
0.951
0.942
0.933
0.923
0.914
0.905
0.896
0.887
0.879
0.870
0.861
0.853
0.844
0.836
0.828
0.820
0.780
0.742
0.706
0.672
0.608
2%
0.980
0.961
0.942
0.924
0.906
0.888
0.871
0.853.
0.837
0.820
0.804
0.788
0.773
0.758
0.743
0.728
0.714
0.700
0.686
0.673
0.610
0.552
0.500
0.453
0.372
3%
0.971
0.943
0.915
0.888
0.863
0.837
0.813
0.789
0.766
0.744
0.722
0.701
0.681
0.661
0.642
0.623
0.605
0.587
0.570
0.554
0.478
0.412
0.355
0.307
0.228
4%
5%
0.962 0.952
0.925 0.907
0.889 0.864
0.855 0.823
0.822 0.784
0.790 0.746
0.760 0.711
0.731 0.677
0.703 0.645
0.676 0.614
0.650 0.585
0.625 0.557
0.601 0.530
0.577 0.505
0.555 0.481
0.534 0.458
0.513 0.436
0.494 ' 0.416
0.475 0.396
0.456 0.377
0.375 0.295
0.308 0.231
0.253 0.181
0.208 0.142
0.141 0.087
6%
0.943
0.890
0.840
0.792
0.747
0.705
0.665
0.627
0.592
0.558
0.527
0.497
0.469
0.442
0.417
0.394
0.371
0.350
0.331
0.312
0.233
0.174
0.130
0.097
0.054
7%
0.935
0.873
· 0.816
0.763
0.713
0.666
0.623
0.582
0.544
0.508
0.475
0.444
0.415
0.388
0.362
0.339
0.317
0.296
0.277
0.258
0.184
0.131
0.094
0.067
0.034
8%
0.926
0.857
0.794
0.735
0.681
0.630
0.583
0.540
0.500
0.463
0.429
0.397
0.368
0.340
0.315
0.292
0.270
0.250
0.232
0.215
0.146
0.099
0.068
0.046
0.021
9% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19%1 20%
0.917 0.909 0.901 0.893 0.885 0.877 0.870 0.862 0.855 0.847 0.840 0.833
0.842 0.826 0.812 0.797 0.783 0.769 0.756 0.743 0.731 0.718 0.706 0.694
0.772· 0.751 0.731 0.712 0.693 0.675 0.658 0.641 0.624 0.609 0.593 0.579
0.708 0.683 0.659 0.636 0.613 0.592 0.572 0.552 0.534 0.516 0.499 0.482
0.650 0.621 0.593 0.567 0.543 0.519 0.497 0.476 0.456 0.437 0.419 0.402
0.596 0.564 0.535 0.507 0.480 0.456 0.432 0.410 0.390 0.370 0.352 0.335
0.547 0.513 0.482 0.452 0.425 0.400 0.376 0.354 0.333 0.314 0.296 0.279
0.502 0.467 0.434 0.404 0.376 0.351 0.327 0.305 0.285 0.266 0.249 0.233
0.460 0.424 0.391 0.361 0.333 0.308 0.284 0.263 0.243 0.225 0.209 0.194
0.422 0.386 0.352 0.322 0.295 0.270 0.247 0.227 0.208 0.191 0.176 0.162
0.388 0.350 0.317 0.287 0.261 0.237 0.215 0.195 0.178 0.162 0.148 0.135
0.356 0.319 0.286 0.257 0.231 0.208 0.187 0.168 0.152 0.137 0.124 0.112
0.326 0.290 0.258 0.229 0.204 0.182 0.163 0.145 0.130 0.116 0.104 0.093
0.299 0.263 0.232 0.205 0.181 0.160 0.141 0.125 0.111 0.099 0.088 0.078
0.275 0.239 0.209 0.183 0.160 0.140 0.123 0.108 0.095 0.084 0.074 0.065
0.252 0.218 0.188 0.163 0.141 0.123 0.107 0.093 0.081 0.071 0.062 0.054
0.231 0.198 0.170 0.146 0.125 0.108 0.093 0.080 0.069 0.060 0.052 0.045
0.212 0.180 0.153 0.130 0.111 0.095 0.081 0.069 0.059 0.051 0.044 0.038
0.194 0.164 0.138 0.116 0.098 0.083 0.070 0.060 0.051 0.043 0.037 0.031
0.178 0.149 0.124 0.104 0.087 0.073 0.061 0.051 0.043 0.037 0.031 0.026•
0.116 0.092 0.074 0.059 0.047 0.038 0.030 0.024 0.020 0.016 0.013 0.010
0.075 0.057 0.044 0.033 0.026 0.020 0.015 0.012 0.009 0.007 0.005 0.004
0.049 0.036 0.026 0.019 0.014 0.010 0.008 0.006 0.004 0.003 0.002 0.002
0.032 0.022 0.015 0.011 0.008 0.005 0.004 0.003 0.002 0.001 0.001 0.001
0.013 0.009 0.005 0.003 0.002 0.001 0.001 0.001 0.000 0.000 0.000 0.000
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TABLE C
t-uture va1ue,merest tactor OTan orornarv annurtv oT::,1per oenoa at 1%Torn oenoas. Fl711-A(1.nl.
Period
I
I
1%
2%
3%
4%
5%1 6%
7%
8%
9% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19% 20%
1 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.0_00 1.000 1.000
2 2.010 2.020 2.030 2.040 2.050 2.060 2.070 2.080 2.090 2.100 2.110 2.120 2.130 2.140 2.150 2.160 2.170 2.180 2.190 2.200
3 3.030 3.060 3.091 3.122 3.153 3.184 3.215 3.246 3.278 3.310 3.342 3.374 3.407 3.440 3.473 3.506 3.539 3.572 3.606 3.640
4 4.060 4.122 4.184 4.246 4.310 4.375 4.440 4.506 4.573 4.641 4.710 4.779 4.850 4.921 4.993 5.066 5.141 5.215 5.291 5.368
5 5.101 5.204 5.309 5.416 5.526 5.637 5.751 5.867 5.985 6.105 6.228 6.353 6.480 6.610 6.742 6.877 7.014 7.154 7.297 7.442
6 6.152 6.308 6.468 6.633 6.802 6.975 7.153 7.336 7.523 7.716 7.913 8.115 8.323 8.536 8.754 8.977 9.207 9.442 9.683 9.930
7 7.214 7.434 7.662 7.898 8.142 8.394 8.654 8.923 9.200 9.487 9.783 10.089 10.405 10.730 11.067 11.414 11.772 12.142 12.523 12.916
8 8.286 8.583 8.892 9.214 9.549 9.897 10.260 10.637 11.028 11.436 11.859 12.300 12.757 13.233 13.727 14.240 14.773 15.327 15.902 16.499
9 9.369 9.755 10.159 10.583 11.027 11.491 11.978 1-2.488 13.021 13.579 14.164 14.776 15.416 16.085 16.786 17.519 18.285 19.086 19.923 20.799
10 10.462 10.950 11.464 12.006 12.578 13.181 13.816 14.487 15.193 15.937 16.722 17.549 18.420 19.337 20.304 21.321 22.393 23.521 24.709 25.959
11 11.567 12.169 12.808 13.486 14.207 14.972 15.784 16.645 17.560 18.531 19.561 20.655 21.814 23.045 24.349 25.733 27.200 28.755 30.404 32.150
12 12.683 13.412 14.192 15.026 15.917 16.870 17.888 18.977 20.141 21.384 22.713 24.133 25.650 27.271 29.002 30.850 32.824 34.931 37.180 39.581
13 13.809 14.680 15.618 16.627 17.713 18.882 20.141 21.495 22.953 24.523 26.212 28.029 29.985 32.089 34.352 36.786 39.404 42.219 45.244 48.497
14 14.947 15.974 17.086 18.292 19.599 21.015 22.550 24.215 26.019 27.975 30.095 32.393 34.883 37.581 40.505 43.672 47.103 50.818 54.841 59.196
15 16.097 17.293 18.599 20.024 21.579 23.276 25.129 27.152 29.361 31.772 34.405 37.280 40.417 43.842 47.580 51.660 56.110 60.965 66.261 72.035
16 17.258 18.639 20.157 21.825 23.657 25.673 27.888 30.324 33.003 35.950 39.190 42.753 46.672 50.980 55.717 60.925 66.649 72.939 79.850 87.442
17 18.430 20.012 21.762 23.698 25.840 28.213 30.840 33.750 36.974 40.545 44.501 48.884 53.739 59.118 65.075 71.673 78.979 87.068 96.022 105.93
18 19.615 21.412 23.414 25.645 28.132 30.906 33.999 37.450 41.301 45.599 50.396 55.750 61.725 68.394 75.836 84.141 93.406 103.74 115.27 . 128.12
19 20.811 22.841 25.117 27.671 30.539 33.760 37.379 41.446 46.018 51.159 56.939 63.440 70.749 78.969 88.212 98.603 110.28 123.41 138.17 154.74
20 22.019 24.297 26.870 29.778 33.066 36.786 40.995 45.762 51.160 57.275 64.203 72.052 80.947 91.025 102.44 115.38 130.03 146.63 165.42 186.69
25 28.243 32.030 36.459 41.646 47.727 54.865 63.249 73.106 84.701 98.347 114.41 133.33 155.62 181.87 212.79 249.21 292.10 342.60 402.04 471.98
30 34.785 40.568 47.575 56.085 66,439 79.058 94.461 113.28 136.31 164.49 199.02 241.33 293.20 356.79 434.75 530.31 847.44 790.95 966.71 1,181.9
35 41.660 49.994 60.462 73.652 90.320 111.43 138.24 172.32 215. 71 271.02 341.59 431.66 546.68 693.57 881.17 1,120.7 1,426.5 1,816.7 2,314.2_ 2,948.3
40 48.886 60.402 75.401 95:026 120.80 154.76 199.64 259.06 337.88 442.59 581.83 767.09 1,013.7 1,342.0 1,779.1 2,360.8 3,134.5 4,163.2 5,529.8 7,343.9
50 64.463 84.579 112.80 152.67 209.35 290.34 406.53 573.77 815.08 1,163.9 1,668.8 2,400.0 3,459.5 4,994.5 7,217.7 10,436 15.090 21.813 31,515 45,497
TABLED
Present value interest factor of an (ordinary) annuity of $1 per period at i% for n periods, PVIFA(i,n).
Period
1
2
3
4
5
6
7
8
9
10
1%
0.990
1.970
2.941
3.902
4.853
5,795
6.728
7.652
8.566
9.471
2%
0.980
1.942
2.884
3.808
4.713
5.601
6.472
7.325
8.162
8'983
3%
0.971
1.913
2.829
3.717
4.580
5.417
6.230
7.020
7.786
8.530
4%
0.962
1.886
2.n5
3.630
4,452
5.242
6.002
6.733
7.435
8.111
5%
0.952
1.859
2.723
3.546
4.329
5,076
5,786
6.463
7.108
7.722
6%
0.943
1.833
2.673
3.465
4.212
4.917
5.582
6.210
6.802
7.360
7%
0.935
1.808
2.624
3,387
4.100
4,767
5.389
5.971
6.515
7.024
8%
0.926
1.783
2.577
3.312
3.993
4.623
5.206
5,747
6,247
6.710
9%
0.917
1.759
2.531
3.240
3.890
4.486
5.033
5,535
5.995
6.418
10%
0,909
1.736
2.487
3.170
3.791
4.355
4.868
5.335
5.759
6.145
11%
0.901
1.713
2.444
3.102
3.696
4,231
4.712
5.146
5.537
5.889
12%
0,893
1.690
2.402
3.037
3.605
4.111
4.564
4.968
5.328
5.650
13%
0.885
1.668
2.361
2.974
3.517
3.998
4.423
4.799
5.132
5.426
14%
0.877
1.647
2.322
2.914
3.433
3.889
4.288
4.639
4.946
5.216
15%
0.870
1.626
2.283
2.855
3.352
3.784
4,160
4.487
4.772
5.019
16%
0.862
1.605
2.246
2,798
3.274
3.685
4.039
4.344
4.607
4.833
17%
0.855
1.585
2.210
2.743
3.199
3.589
3.922
4.207
4.451
4.659
18%
0:847
1.566
2.174
2.690
3.127
3.498
3.812
4.078
4.303
4.494
19%1 20%:
0.840 0.833
1.547 1.528
2.140 2.106
2.639 2.58_9
3,058 2.991
3.410 3.326
3.706 3.605
3.954 3.837
4.163 4.031
4.339 4,192
11 10.368
12 11.255
13 12.134
14 13.004
9.787
10.575
11.348
12.106
9.253
9.954
10.635
11.296
8.760
9.385
9.986
10.563
8.306
8.863
9.394
9.899
7.887
8.384
8,853
9.295
7.499
7.943
8.358
8.745
7.139
7.536
7,904
8.244
6.805
7.161
7.487
7.786
6.495
6.814
7.103
7.367
6.207
6.492
6.750
6.982
5.938
6.194
6.424
6.628
5.667
5.918
6.122
6.302
5.453
5.660
5.842
6.002
5.234
5.421
5.583
5,724
5.029
5.197
5.342
5.468
4.836
4.988
5.118
5.229
4.656
4.793
4.910
5.008
4.486
4.611
4.715
4.802
4.327
4.439
4,533
4.611
15 13.865 12.849 11.938 11.118 10.380 9.712 9.108 8.559 8.061 7.606 7.191 6.811 6.462 6.142 5.847 5.575 5.324 5.092 4.876 4.675
16 14.718 13.578 12.561 11.652 10,838 10.106 9.447
17 15.562 14.292 13.166 12.166 11.274 10.477 9.763
8.851
9.122
8.313 7.824 7.379 6.974 6.604 6.265 5.954 5.668 5.405 5.162 4.938 4.730
8,544 8.022 7.549 7.120 6.729 6,373 6.047 5.749 5.475 5.222 4.990 4.TT5
18 16.398
19 17.226
20 18.046
25 22.023
14.992
15.678
16.351
19.523
13.754
14.324
14.877
17.413
12.659
13.134
13,590
15.622
11.690
12.08_5
12.462
14.094
10.828
11.158
11.470
12.783
10,059
10,336
10.594
11,654
9.372
9.604
9.818
10,675
8.756
8.950
9.129
9.823
8.201
8.365
8.514
9.on
7.702
7.839
7.963
8.422
7.250 6.840
7.366 · 6.938
7.469 7.025
7.843,, 7.330
6.467
6.550
6.623
6.873
6.128
6.198
6.259
6.464
5.818
5.877
5.929
6,097
5.534
5.584
5.628
5.766
5.273
5.316
5.353
5.467
5.033
5.070
5.101
5,195
4.812
4.843
4,870
4.948
30 25.808 22.396 19.600 17.292 15.372 13.765 12.409 11.258 10.274 9.427 8.694 8.055 7.496 7.003 6.566 6,177 5.829 5.517 5.235 4.979
35 29.409 24.999 21.487 18.665 16.374 14.498 12.948 11.655 10.567 9.644 8,855 8.176 7,586 7.070 6.617 6.215 5.858 5.539 5.251 4.992
40 32.835 27.355 23.115 19.793 17.159 15,046 13.332 11.925 10,757 9.779 8.951 8.244 7.634 7.105 6.642 6.233 5.871 5.548 5.258 4,997
50 39.196 31.424 25.730 21.482 18.256 15.762 13.801 12.233 10.962 9,915 9.042 8.304 7.675 7.133 6.661 6.246 5.880 5,554 5.262 4.999
21%
0,826
1.509
2.074·
2.540
2.926
.
3.245
3.508
3.726
3.905
4.054
4.177
4.278
4.362
4.432
4.489
4.536
4.576
4.608
4,635
4.657
4.721
4.746
4.756
4.760
4.762
22%
0.820' ·
1.492
2.042
2.494
2.864
3.167
3.416
3.619
3.786
3.923
4.035
4.127
4.203
4.265
4.315
4.357
4.391
4,419
4,442
4.460
'4.514
4,534
4.541
4.544
4.545
23%
0.813
1.474
2.011
2.448
2.803
3.092
3.327
3,518
3.673
3.799
3.902
3,985
4.053
4.108
4.153
4.189
4,219
4.243
4.263
4.279
4,323
4,339
4.345
4,347
4,348