For each of the following, please provide the following:

a.Determine whether you use the Present Value or Future Value Tables

b.Do you use the "Single Payment Annuity" or the "Ordinary Annuity"

c.Show your calculation for either the present value or future value calculation (Show your work)

1.

Assume that $40,000 is invested today. Compute the amount that would accumulate at the end

of twelve years when the market rate of interest is 6% compounded annually?

2.

A contract calls for a lump sum payment of $120,000. What is the present value of the contract

assuming the payment is due in eight years and the current market rate of interest is 6%

compounded annually.

3.

$3,000 is deposited in an account at the end of each of nine years. What is the future value of

those deposits assuming market rate of interest of 12% compounded annually?

4.

A contract calls for annual payments of $5,000. What is the present value of the contract

assuming the number of payments is twelve, and the current interest rate is 5% compounded

annually?

5.

What is the present value of 30 payments of $30,000 at market rate of 4% interest per period?

6.

What is the present value of $600,000 at 4% per period due at the end of 30 periods