1. If PV = $100, FV = $175, and n = 10, solve for r. Use formula to solve this question. Write down all the steps for the full credits. 2. If PV = $100, FV = $175, and r = 3.864%, what is n? Use formula to solve this question. Write down all the steps for the full credits. You can use the calculator to check your answer. 3. Morgan and Diane are lottery winners! The prize is 20 consecutive annual payments of $50,000 beginning one year from today. For part a and b, draw the timeline, identify the five elements of the time value of money, and solve the question using a calculator. a) Morgan looks at Diane and says "can you believe it, us as millionaires today". Are they? Use an interest rate of 5%. b) Morgan and Diane decide to wait until the end of year 20 to spend the money, preferring to reinvest all payments in an account earning 5%. How much will they have at the end of year 20? c) Extra Credit: As a bonus, the fifth payment and only the fifth payment includes an extra $25,000 so that the amount received at the end of year 5 is $75,000. Morgan looks at Diane and says "can you believe it; us, millionaires after 20 years." Are they? Use an interest rate of 2%. Draw the timeline and use calculator for this