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09. Debbie is an overseas student from Tonga studying finance at Sydney University. Debbie would like to know more about the Australian financial system. She

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09. Debbie is an overseas student from Tonga studying finance at Sydney University. Debbie would like to know more about the Australian financial system. She approached you with the following questions. (10 Marks). 9.1 Debbie would like to know who are the authorities in the Australian Financial System? (3 Marks). 9.2 What role does RBA responsible for in the Australian Financial system? (3 Marks). 9.3 What are some potential approaches to resolve a conflict of interest in an organisation? (2 Mark). 9.4 If Debbie would like to know the status of a project in capital investment, what process she would take to identify this? (2 Marks). Q10. Loretta as a winner of a horse racing competition, she can choose one of the prizes given below. If the interest rate is 10%, what is the present value of each prize? (10 Marks). a. $120,000 now (3 Marks). b. $145,000 at the end of five years (3 Marks). c. $65,000 a year forever (3 Marks) d. Of prizes a through c, which one is the most valuable? (1 Mark)

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