1. You buy an investment today that will pay you 10% interest for 3 years. How much will you have at the end of 3 years if you put $10,000 in the investment today? (SHOW ALL WORK). Formula FV = PV * (1 + r) ^ t 2. An investment will pay you $100,000 in 3 years. How much is this investment worth in today's dollars if your required rate of return ( discount rate) is 12%? (SHOW ALL WORK). Formula: PV = FV / ((1 + r) ^ t) 3. You are offered an investment that will pay you $1,000 today (T-0), $2,000 1 year from now, and $3,000 2 years from now. Assuming a rate of return of 9%, how much will the investment be worth at the end of year 3? (SHOW ALL WORK). Formula FV = PV * (1 + r) ^ t 4. You are offered an investment that will pay you $500 at the end of the year, $1000 the next year, and $2,000 the 3rd year. What will this be worth in today's dollars assuming you require a 6% rate of return? (SHOW ALL WORK). Formula : PV = FV / ((1 + r) ^ t)