1. An investment will pay you $90,000 in three years. Assume the appropriate discount rate is 6 percent compounded daily.
What is the present value?
2. The Oakland Mills Company has disclosed the following financial information in its annual reports for the period ending March 31, 2013: sales of $1,473,000, costs of goods sold of $804,000, depreciation expenses of $175,000, and interest expenses of $89,575. Assume that the firm has a tax rate of 35 percent. Compute the cash flows to investors from operating activity. (Round answer to 2 decimal places, e.g. 15.25.)