Question 1 Briefly discuss 5 Fundamental concepts in Corporate Finance (10 Marks) Question 2 You are selling your Harry Davidson to two potential buyers. Lebogang who is offering R12000 today as your required market price or Lesego who is offering you R12500 one year later. Being a student of industrial engineering, you are investigating on the option to invest in the bank at an interest rate of 5%. Choose the best option by clearly showing all steps and formulas.: i. Calculate the Future Value of Lebogang's offer. (3 Marks) ii. Calculate the Present Value of Lesego's offer. (3 Marks) iii. Calculate the future value if you Invest in the Bank (1 Mark) Question 3 Consider the data in the table below for your options in savings: i. Year 1 Savings R1000 Savings Year 2 R1200 Year 3 R1500 Annual Interest Rate of 5% How much money will you have in the Bank 3 years from now? (7 Marks) Question 4 Your Financial Advisor is selling you a product from which you expect to earn R3000 one year from now, R5000 2 years from now and R7000 3 years from now. i. If the relevant discounted rate is 7%, how much is this cash flow stream worth to you today? (7 Marks) ii. Would you buy this product for 10000? Justify your answer. (3 Marks) 2