*The second question is required

*With an explanation of the solution method and the laws used *

1. What is the value of the following set of cash flows today? The interest rate is 8.5%. YearCashFlow 0:$1,000 1: $200 2: $400 3: $600 4: $800 2. The present value interest factor of an annuity due for 3 years at 8% equals: 3. What is the present value of $2,500 semiannual payments received at the beginning of each period for the next 10 years? The APR is 6%