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Question 4.07 Susan will receive a payment of $3,000 in 2 years, $8,000 in 5 years, and $10,000 in 7 years. The annual force of

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Question 4.07 Susan will receive a payment of $3,000 in 2 years, $8,000 in 5 years, and $10,000 in 7 years. The annual force of interest is 7%. Calculate the nrecent valiue of the navmente Question 4.11 David can receive one of the following two payment streams: (i) 100 at time 0,200 at time n years, and 300 at time 2n years (ii) 600 at time n years The present values of the two payment streams are equal. You are given that the annual force of interest is 12.21%. Calculate n. A 8.0 B 8.5 C 9.0 D 9.5 Question 4.14 Suzie deposits $200 into an account that earns an annual simple interest rate of 5%. At the same time, John deposits $220 into an account that earns a constant force of interest of . After 5 years, the value in each account is the same. Calculate . A 2.56% B 2.59% C 2.65% D 2.73% E 2.97%

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