Assume that Mr. Danny starts now and makes five equal deposits of A=1000 per year into a 17% per year investment and withdraws the accumulated total immediately after the last deposit. Construct the cash flow diagram and solve the amount withdrawn.

2. If a Plastics company purchases a new building now for $1.3 million for its corporate headquarters, what must the building be worth in 10 years? The company expects all expenditures to earn a rate of return at least 18% per year.

5. Valtro Electronic Systems, Inc. set aside a lump sum of money 4 years ago in order to finance a plan expansion now. If the money was invested in a 10% per year simple interest certificate of deposit, how much did the company set aside if the certificate is now worth $850,000? 6. Two years ago, ASARCO, Inc. invested $580,000 in a certificate of deposit that paid simple interest of 9% per year. Now the company plans to invest the total

Vebco Water and Gas received a contract for a seawater desalination plant wherein the company expected to make a 28% rate of return on its investment. 1. If Vebco invested $8 million the first year, what was the amount of its profit in that year? 2. What amount would have to be invested to realize the same monetary amount of return if the rate decreases to 15% per year?