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(1 mark each) 1. Find the present value of $400 to be received 12 years from today if the interest rate is 2 per cent.
(1 mark each) 1. Find the present value of $400 to be received 12 years from today if the interest rate is 2 per cent. a. $ 315.4 b. $ 316.7 c. $ 333.04 d. $ 344.13 2. Find the future value at the end of 4 years of $800 invested today at an interest rate of 20 per cent. a. $ 1657.29 b. $ 1658.88 c. $ 1666.92 d. $ 1677.87 3. Find the present value of an annuity of $600 per year for 11 years if the interest rate is 1 per cent. a. $6218.61 b. $6220.58 c. $6223.08 d. $6238.25 4. Find the present value of the following cash flow stream if the interest rate is 5 per cent. 0 1 2 3 4 5 6 + + + + $300 $300 $500 $100 $400 $500 a. $1748.89 b. $1758.53 c. $1760.53 d. $1771.37
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