HCAIUS Financial Practices for Health Care ganizations Section 4 - Calculating the Time Value of Money 1)If a pharmacist student received $15,000 per year at the end of each year for the next 6 years, as part of his aunt's estate, what would be the present value of these gifted payments? a) At a 3% rate of return b) At a 6% rate of return c) At a 11% rate of return 2) A nurse deposits $24,000 today in a mutual fund that is expected to grow at an annual rate of 8%. What will be the value of this investment? a) Three years from now b) Six years from now c) Nine years from now d) Twelve years from now 3) After completing her residency, a dentist plans to invest $30,000 per year at the end of each year for 35 years into a high-risk retirement account. She expects to earn 7%. What will her retirement account be worth at the end of those 35 years? 4) The chief financial officer of a public health agency needs to determine the present value of a $120,000 investment in 20 years. What is the present value if the discount rate is: a) 4% b) 7% c) 12%