1.)What is the present worth of $1,000 payable in five years, if money is thought to be worth 5%?

2.) A firm purchased some equipment at a price of $50,000. The equipment resulted in an annual net savings of $2,000 per year during the 10 years it was used. At the end of 10 years, the equipment was sold for $40,000. Assuming i=8%, what was the equivalent cost to the company of this transaction on the purchase date?

3.)What uniform annual payment is equivalent to $1,200 at the end of the third year if the interest rate is 7.5%, compounded annually?