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Here is what I have to do in Excel: www.midgatrades.com/scan.bmp
When I do it my Monthly Payment value is coming out negative: www.midgatrades.com/Excel.xls
I'm not sure why, but I can't move on with my assignment if I don't get it figured out. Thanks!
Change your formula in E13 to =-PMT(E11,E10,E6,0)
Per the help file on the PV formula
"The result is negative because it represents money that you would pay, an outgoing cash flow. If you are asked to pay (60,000) for the annuity, you would determine this would not be a good investment because the present value of the annuity (59,777.15) is less than what you are asked to pay."