1a.You will receive $50,000 at the end of 10 years. If the rate of interest is 8% per year, how much is the current value of your cash flow?

b. If you invest $24,500 today at the rate of 5% per year, how much money would you have at the end of 8 years?

c. How much would Danielle have to invest today at the rate of 12%, compounded semiannually to have $25,000 at the end of 4 years?

d. Trisha has $5,000 to invest today. She invests the money in bank account that promises an interest rate of 5.2%, compounded weekly. How much money will she have at the end of 5 years?

e. In calculation of time value of money, the interest rate has a _________ relationship to the present value and _________ relationship to the future value of an investment.

f.

The present value of a single future sum:

	I.	is generally larger than the future sum.
	II.	depends upon the number of discount periods.
	III.	increases as the discount rate increases
	IV.	increases as the time period increases
	V.	None of the options specified here