Financial Management Valuation Principles Present & Future Value Recap Q1... Mary Jane (aged 55) has just started working with the XYZ Company and is just trying to catch up on having money for retirement. XYZ offers her a pension plan with an annuity that is guaranteed to earn 10% interest compounded annually. She plans to work for 5 years before retiring and would then like to be able to draw an income of $100,000 per annum for 15 years. How much must be deposited per annum into her retirement fund to accomplish this? Q2...Kerine Young wish to establish a trust fund from which her daughter can withdraw $3,500 every six months for 12 years, at the end of which time she will receive the remaining money in the trust, which you would like to be $15,000. The trust will be invested at 9% per annum compounded semi-annually. How large should the trust be? Q3... It is now January 1, 2018. You plan to make 5 deposits of $200 each, one every 6 months, with the first payment being made today. If the bank pays a nominal interest rate of 10%, but uses semi-annual compounding, how much will be in your account after 8 years? Financial Management Valuation Principles Present & Future Value Recap Q1... Mary Jane (aged 55) has just started working with the XYZ Company and is just trying to catch up on having money for retirement. XYZ offers her a pension plan with an annuity that is guaranteed to earn 10% interest compounded annually. She plans to work for 5 years before retiring and would then like to be able to draw an income of $100,000 per annum for 15 years. How much must be deposited per annum into her retirement fund to accomplish this? Q2...Kerine Young wish to establish a trust fund from which her daughter can withdraw $3,500 every six months for 12 years, at the end of which time she will receive the remaining money in the trust, which you would like to be $15,000. The trust will be invested at 9% per annum compounded semi-annually. How large should the trust be? Q3... It is now January 1, 2018. You plan to make 5 deposits of $200 each, one every 6 months, with the first payment being made today. If the bank pays a nominal interest rate of 10%, but uses semi-annual compounding, how much will be in your account after 8 years