Given 6% interest: solve each of the following

5. PV = $500 received each year for 4 years

6. FV = $500 invested each year for 4 years

7. Consider that a 10-year UST offers 3.5% return, but a 10-year AAA Corporate Bond offers 4.2% => what causes the difference of 0.7%?

8. Consider that a 1-year UST offers 1.5%, but a five-year UST offers 2.1% => what two influences could be causing the 0.6% difference?