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The graph below shows present values and future values of single payments for various interest rates over six periods. Answer the following questions. Required: Today

The graph below shows present values and future values of single payments for various interest rates over six periods. Answer the following questions.

Required:

Today (n = 0), a company invests $1,000 and expects that investment to grow 10% each period for the next six periods (n = 6). What is the investments expected future value? not attempted
2. A company expects to receive $1,772 in six periods. What is that amounts present value, assuming the companys other current investment opportunities are expected to earn 10% per period? not attempted
3. The difference between the present value and future value for a given rate represents: not attempted
4. The difference between present value and future value: not attempted
5. The difference between present value and future value: not attempted
6. A company has the choice of receiving $1,000 today from a customer or receiving $1,340 in six periods. Which option does the company prefer, assuming the companys other current investment opportunities are expected to earn 5% per period? not attempted
7. A company has the choice of receiving $1,000 today from a customer or receiving $1,200 in six periods. Which option does the company prefer, assuming the companys other current investment opportunities are expected to earn 2% per period?

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