(i). Mr. Violin needs RM20,000 in 4 years to do a major refurbishing of his violin. What amount must he invest today if his investment earns 4 percent interest compounded annually?

(ii). In 1940, your grandmother put RM1,000 into a special trust to be paid to a future grandchild (you) 60 years later, in the year 2000. How much will this trust be worth in the year 2000 if it has been earning 8 percent?