7 Zoey is planning to invest $5,000 in a fixed income security at the end of each of the next four years. She will receive $23.000 at the end of four years. If interest is compounded annually, what is the annual rate of return earned on the investment? a. 7.3% b. 8.7% c. 9.4% d. 5.7% e. 10.2% 8. A firm plans to make investments of $5,000 for the next 10 years, paying the amount at the end of each year. This form of cash flow pattern represents an) a. ordinary annuity b. lump-sum payment C. annuity due d. uneven cash flow stream e. immediate annuity 9. The process of determining the present value of a cash flow or a series of cash flows to be received or paid in the future is known as a. annualizing b. amortization C. compounding d. discounting e. consolidation is the chance that a financial asset will not earn the return promised. 10. In the financial market context, a. time preference for consumption b. maturity c. inflation d. risk e. production opportunity