Please help me explain the following.

Explain to him/her why s/he will get a fortune if s/he starts saving and investing $5 every day. Use the concept of time value of money and power of compounding.

Explain to him/her why high levels of inflation will cause decrease in stock valuation, holding everything else constant.

Explain to him/her how one can estimate the cost of capital for a company, and why this is important.