1. Assuming an interest rate of 3%, what would be the present value of $15 million to be received in 5 years
2. How much will $20000 grow into in 5 years if you earn 10%? Assume quarterly compounding.
3. What is the future value of a five year annuity due that promises to pay you 650 each year Assume that all payments are reinvested at 10 percent a year until Year 4?
4. For the next 4 years you will get the following cash flow in the following order, $325 $275 $250 $150.
5. If you assume that the interest rate is 5% (which means that after you get the money, it will be invested and you will get 5% interest from it), how much money will you have in 4 years?