1. If you put up $46,000 today in exchange for a 6.50 percent, 16-year annuity, what will the annual cash flow be?

2. Investment X offers to pay you $5,600 per year for nine years, whereas Investment Y offers to pay you $7,700 per year for six years.

Calculate the present value for Investment X and Y if the discount rate is 4 percent. (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16))

	Present value
Investment X	$
Investment Y	$

Calculate the present value for Investment X and Y if the discount rate is 14 percent. (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16))

	Present value
Investment X	$
Investment Y	$