1) Sandhill Telecommunications Corp. has made an investment in another company that will guarantee it a cash flow of $21,000 each year for the next five years. If the company uses a discount rate of 16 percent on its investments, what is the present value of this investment? (Round factor values to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25.)

2) David Davis plans to invest $27,000 a year at the end of each year for the next seven years in an investment that will pay him a rate of return of 12.8 percent. How much money will David have at the end of seven years?