Question 1. .Scheduled payments of $400 due now and $700 due in five months are to be settled by a payment of $500 in three months and a final payment in eight months. Determine the amount of the final payment at 6% p.a., using eight months from now as the focal date.

Question 2. Two amounts owing from the past were to be paid today. One debt was $620 from one year ago and the other was $925 from six months ago. Determine the single payment today that would fully repay the debts. Allow for simple interest at 12% p.a.