1. Your goal is to have $78,416. If you can earn 11.76% per year and you invest $11,818 today, how many years until you reach your goal?

2. You are looking at an investment that will pay you $26,002 in year 2, $42,483 in year 4 and $48,350 in year 6. If your required return is 9.37%, what is the most you should pay for the investment? (In other words, how much is the project worth today?)

3. Calculate the value of the cash flows at time 6. The interest rate is 9.36%.

0	1	2
$1,188	$2,324	$3,133