1. How much is in a sinking fund after 20 quarterly payments (end of each quarter) of $513.27 if interest is 3% compounded quarterly?
2. A project has an initial cost of $10,000. This project is expected to bring in $2,611 per year for 4 years. If money can earn 2% compounded annually, what is the net present value of this project? If your NPV is less than 0, enter a negative for your answer.
3. A project is expected to bring the company $2,908 per year for 5 years and money can earn 1.5% compounded annually. What initial cost today would produce a NPV of $0?
4. 10 semi-annual payments of $942.42 are made towards a sinking fund that accumulates to $10,000. How much interest was gained on this sinking fund?