P15-A3 The purpose of this problem is to show the relationship between the future value of 1 and the present value of 1. 1. Jan Schmidt will need $10.000 at the end of ten years in order to cover a business expense due at that time. To meet this future expense. Schmidt can invest a sum today. His investment will earn 6% each year over the ten-year period. How much must Schmidt invest today (present value)? 2. Now, let's turn this present-value situation around and view it in terms of a future value: Schmidt has $5.580 to invest today. He can earn 6% each year over a ten-year period. How much will his investment be worth at the end of ten years (future value)?