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1) Calculate the future value 18 months from today of $100 for each of the following annual rates. a. i (2) = 5% b. d

1) Calculate the future value 18 months from today of $100 for each of the following annual rates.

a. i(2) = 5%

b. d(2) = 5%

c. d = 5%

2) Calculate the present value of a $100 payment to be made 9 months from today for each of the following annual rates.

a. Force of interest equal to 4%.

b. Nominal rate of interest with 3 compounding periods equal to 4%.

c. Nominal rate of discount convertible quarterly equal to 4%.

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