1)Imprudential, Inc., has an unfunded pension liability of $750 million that must be paid in 23 years. To assess the value of the firm's stock, financial analysts want to discount this liability back to the present. If the relevant discount rate is 8.0 percent, what is the present value of this liability?

A. $125,181,734

B. $143,159,566

C. $127,736,463

D. $130,291,192

E. $117,517,546

2). You have just received notification that you have won the $3 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100th birthday (assuming you're around to collect), 65 years from now. What is the present value of your windfall if the appropriate discount rate is 8 percent?

A. $20,567.30

B. $54,607.17

C. $19,760.74

D. $20,164.02

E. $18,550.90

3.)Your coin collection contains 58 1957 silver dollars. If your grandparents purchased them for their face value when they were new, how much will your collection be worth when you retire in 2051, assuming they appreciate at an annual rate of 7 percent?

A. $34,206.08

B. $31,858.60

C. $5,998.46

D. $32,529.31

E. $33,535.37