$1.$You plan to deposit amounts as shown at the beginning of this year, and at the $5$beginning of every year until five year from now, into a bank which will give you annual interest. The following table shows your deposits and timing. The interest rate is at the top of the table:

$10\mathrm{.}6\%$ Interest

Years to wait $012345$

Cash flow $500500500500500$

What will be your bank balance at the end of the fifth year? $2.$ You are considering buying a bond which will pay annual amounts as shown at the end of this year, and at the end of every year until five year from now. At the end of the fifth year, the bond will also pay you an extra $$1,000.$ The following table shows your expected cash inflows and timing. The percent return you demand from your investments is at the top of the table, labeled "Required Return."

$8\mathrm{.}13\%$ Required Return

Years to wait $012345$

Annual payment expected $100100100100100$

Additional lump sum expected $1,000$

Total Cash Flow $1001001001001,100$

What is this bond worth in today's money? $3.$ You are considering buying a share of stock which you expect to pay a dividend at the end of each of the next five years. As soon as you receive the last dividend, you plan to sell the stock. The dividends and expected selling price are shown in the table below. Use the required return in the table as your discount rate

$9\mathrm{.}92\%$ Required return

Year $012345$

Expected Selling Price $$147\mathrm{.}00$

Dividend $$4\mathrm{.}56$ $$4\mathrm{.}56$ $$4\mathrm{.}56$ $$4\mathrm{.}56$ $$4\mathrm{.}56$

Total Cash Flow $$4\mathrm{.}56$ $$4\mathrm{.}56$ $$4\mathrm{.}56$ $$4\mathrm{.}56$ $$151\mathrm{.}56$

inflow inflow inflow inflow inflow

What is this investment worth in today's money?

$4.$You are considering an investment which will pay amounts as shown at the end of this year, and at the end of every year until five year from now. The following table shows your expected cash inflows and timing. Use the required rate of return from the table as your discount rate.

$11\mathrm{.}42\%$ Required Return

Years to wait $012345$

Cash flow $2,4701,9141,5761,2741,016$

What is this investment worth in today's money?