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Suppose you receive $130 at the end of each year for the next three years: a. If the interest rate is 10%, what is the

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Suppose you receive $130 at the end of each year for the next three years: a. If the interest rate is 10%, what is the presert value of these cash flows? b. What is the future value in three years of the present value you computed in (a)? c. Suppose you deposit the cash flows in a bank account that pays 10% interest per yoar. What is the balance in the account at the end of oach of the next three years (ater your doposit is made)? How does the final bank balance compare with your answer in (b)? a. If the interest rate is 10%, what is the present value of these cash fows? The present value of these cash flows is : (Round to the nearest cent) b. What is the future value in three years of the present value you computed in (a)? The future value in three years is $430.30. (Round to the nearest cent) c. Suppose you deposit the cash flows in a bank account that pays 10% interest per year. What is the balance in the account at the end of each of the next thres years (after your deposit a madn)? The balance in the account at the end of yoar one is : (Round to the nearest cent) The balance in the accours at the end of year two is $27300. (Riound to the nearest cent) The batance in the acbount at the end of year three is: (Found v the nearest cent) How does the final bank balance compace wath your answer in (b)? The fnal bank balance in (c) is the bank balance trom part (b). (Select from the drop-oown menu and ignore smal dfarences due to rounding)

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