1. You put $350 in the bank for 5 years at 8%. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year.

2. If you invest $22,000 today, how much will you have in: a. 7 years at 10% b. 9 years at 12% c. 13 years at 8% d. 20 years at 15%

3. You have been depositing money into an account yearly based on the following amounts, rates, and times. What is the value of that investment account at the end of that period? Amount of Investment Rate Time Value at the End of the Period $9,000 10% 15 years ? $14,000 12% 10 years ? $17,500 13% 5 years ? $38,000 15% 2 years ?

4. How much would you invest today in order to receive $50,000 in each of the following: a. 10 years at 8% b. 12 years at 10% c. 15 years at 11% d. 18 years at 16%

5. Your friend has a trust fund that will pay her the following amounts at the given interest rate for the given number of years. Calculate the current (present) value of your friends trust fund payments. Amount of Yearly Receipt Rate Time Current Value $7,200 10% 5 years ? $12,800 13% 10 years ? $21,000 16% 15 years ? $31,500 18% 20 years ?

6. Julio Company is considering the purchase of a new bubble packaging machine. If the machine will provide $15,000 annual savings for 8 years and can be sold for $40,000 at the end of the period, what is the present value of the machine investment at a 7% interest rate with savings realized at year end?

7. How much be invested now to receive $40,000 for 10 years if the first $40,000 is received one year from now and the rate is 10%?