You have just received a windfall from an investment you made in a friend's business. He will be paying you $17,752 at the end of this year, $35,504 at the end of the following year, and $53,256 at the end of the year after that (three years from today). The interest rate is 11.7% per year. a. What is the present value of your windfall? b. What is the future value of your windfall in three years (on the date of the last payment)? ... a. What is the present value of your windfall? The present value of your windfall is $ (Round to the nearest dollar.) b. What is the future value of your windfall in three years (on the date of the last payment)? The future value of your windfall in three years is $ . (Round to the nearest dollar.)

You are offered an investment that requires you to put up $5,000 today in exchange for $12,000 10 years from now. What is the annual rate of return on this investment?

a) At what annual interest rate would the following have to be invested? i) $500 to grow to $1,948.00 in 12 years ii) $300 to grow to $422.10 in 7 years iii) $50 to grow to $280.20 in 20 years iv) $200 to grow to $497.60 in 5 years b) You are considering invest ing in a security that will pay you $1,000 in 30 years. i) If the appropriate discount rate is 10 percent, what is the present value of this investment? ii) Assume these securities sell for $365, in return for which you receive $1,000 in 30 years. What is the rate of return investors earn on this security if they buy it for $365? USE EXCEL TO WORK THIS OUT AND SHOW THE FORMULA!

You invest in a project that is expected to pay you $960 every year forever. If the first payment to you occurs 3 years from today and the discount rate is 3.8%, then what is its value today (Round to the nearest dollar).