Application of Time Value of Money Instruction: Answer all questions. You are a financial analyst at a prominent financial institution. Your clients have different investment concerns and requires your advice in the following questions. 1. A financial institution is offering a six-year term deposit that will pay 7% per annum compounded quarterly. If $125,000 was invested in this term deposits, a. How much money will you have at the end of five years? b. What is the EAR? (4 marks) (3 marks) 2. Skeng would like to receive equal instalment of $250,000 at the end of each year for the next 8 years. How much should she have in an investment account that pays 6.5% per annum in order to achieve this goal? (4 marks) 3. Arona would like to receive $15,820 each year for the next 5 years, starting today. Then she hopes to receive $17,500 per year at the beginning of the 6th year for an additional 5 years. In total 10 payments. Assume an interest rate of 6%. Find the present value of this cash flow stream. (5 marks) 1. ii. Find the future value of this cash flow stream. (5 marks)