The following problem addresses issues related to present value.

a$.$ If today is January $20,2024,$ and the cost of capital $r=5\%,$ what is the net present value

of the following cash flows as of January $20,2024$:

b$.$ A customer will pay $$55$ per quarter at the beginning of each quarter to her Internet

provider for the next $3$ years. Determine the net present value of these payments if the

annual discount rate is $6\%.$