1. You purchased an investment for $900 on which you earned $81 in income last year. The inflation rate during that time was 3%. What was your real rate of return?
2. Write a 1-2 page essay considering the types of stock you might issue if you were financing a new business corporation. In addition consider whether you would market the stock,either privately or publicly.
3. What is the value today of $3,000 per year, at a discount rate of 8 percent, if the first payment is received 7 years from today and the last payment is received 25 years from today? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) Please show formula and BAII solution if possible.