17. Suppose you invested $1.00 tn the NASDAQ when it hit its high of 4,698 on Pebruary of 2000. In February of 2010, it was at a level of 2,100. What was your annual average compound growth rate over the period? Stated differently, what was your annualized return for the period? A. Greater than a 10% loss B. Aloss of 10% to 0% C. Again of0% to 10% D. Again of 0% to 18% B. . A gain greater than 16% 18. You expect to recelve $1,000 at the end of one year, of two years, $8,000 at the end of three years, $4,000 a years, and $8,000 at the end of five years. With a discount what are these cash flows worth now? A. Less than $10,000 B. $10,000 to $11,000 C. $11,000 to $12,000 D. $12,000 to $13,000 E. More than $13,000 $2,000 at the end t the end of four 19. You have $1,000 invested in a bank account that pays a 7.75% annual nterest rate. How many ears will it take for your account to double in it value? A. Less than 6 years B. 6 years to 8 years C. 8 years to 10 years D. 10 years to 13 years E. More than 12 years 20. You are the head of the Schwartz Family Endowment for the Arts. You have decided to fund scholarships for promising students. Tuition 1s $6,000 per year and you'd lilke to sponsor scholarships for ten (10) deserving students every year. You can expect to earn 8.0% per year forever. For simplicity, assume that tuition does not increase. What should be the size of the gift? A. Less than $500,000 B, $500,000 to $760,000 C. $780,000 to $1,000,000 D, $1,000,000 to $1,250,000 E. More than $1,250,000