1.Sunland Telecommunications Corp. has made an investment in another company that will guarantee it a cash flow of $21,000 each year for the next five years. If the company uses a discount rate of 12 percent on its investments, what is the present value of this investment? (Round factor values to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25.)

2.You wrote a piece of software that does a better job of allowing computers to network than any other program designed for this purpose. A large networking company wants to incorporate your software into its systems and is offering to pay you $453,000 today, plus $453,000 at the end of each of the following six years, for permission to do this. If the appropriate interest rate is 8 percent, what is the present value of the cash flow stream that the company is offering you? (Round factor values to 4 decimal places, e.g. 1.5215 and final answer to 2 decimal places, e.g. 15.25.)

3.Your finance textbook sold 53,000 copies in its first year. The publishing company expects the sales to grow at a rate of 15 percent each year for the next three years and by 10 percent in the fourth year. Calculate the total number of copies that the publisher expects to sell in years 3 and 4. (If you solve this problem with algebra round intermediate calculations to 6 decimal places, in all cases round your final answers to the nearest whole number.)

Number of copies sold in 3 years
Number of copies sold in 4 years

4.Betty Harris has $19,000 that she can deposit into a savings account for five years. Bank A compounds interest annually, Bank B twice a year, and Bank C quarterly. Each bank has a stated interest rate of 7 percent. What account balance would Betty have at the end of the fifth year if she left all the interest paid on the deposit in each bank? (Round answers to 2 decimal places, e.g. 52.75.)

		Bank A		Bank B		Bank C
Future Value		$enter a dollar amount rounded to 2 decimal places		$enter a dollar amount rounded to 2 decimal places		$enter a dollar amount rounded to 2 decimal places