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Global Finance: Please assist in numbers 2, 3, 4 and 5 . 2. You are offered $100,000 today or $300,000 in 13 years Assuming you

Global Finance: Please assist in numbers 2, 3, 4 and 5 . image text in transcribed
2. You are offered $100,000 today or $300,000 in 13 years Assuming you can make 11 percent on your money, which should you choose? 3. Sara would like to make a single investment and have $1 million at the time of her retirement in 20 years. She has found a mutual fund that will earn 4 percent annually. How much will Sara have to invest today? 4. A new finance book sold 10,000 copies following the first year of its release and the sales are expected to increase by 20 percent per year. What sales are expected in years 2, 3 and 4? Graph this sales trend and explain. 5. A lottery claims its grand prize is S10 million, payable over 20 years at $500,000 per year. If the first payment is made immediately (hint: annuity due), what is this grand prize really worth? Use a discount rate of 6%

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