Exercise #1. Let's assume we are to receive $100 at the end of two years. How do we calculate the present value of the amount, assuming the interest rate is 8% per year compounded annually? Exercise #2. We need to calculate the present value (the value at time period 0) of receiving a single amount of $1,000 in 20 years. The interest rate for discounting the future amount is estimated at 10% per year compounded annually. Exercise #3. What is the present value of receiving a single amount of $5,000 at the end of three years, if the time value of money is 8% per year, compounded quarterly? Exercise #4. What is the present value of receiving a single amount of $10,000 at the end of five years, if the time value of money is 6% per year, compounded semiannually?