time value of Money Assignment.pdfUsing the table(s) needed in Appendix B from the back of your book, please answer each of the following questions:1) What is the relationship between the time value of money and inflation?Calculate the following (show your work):2) How much interest is due on a $15000 "simple interest" loan, held for 6 months at an interest rate of 6%?3)Use future value and present value calculations (see tableson pp. 418-423) to determine the following:a. The future value of a $500 savings deposit after eight years at an annual interest rate of 7 percent.b. The future value of saving $1,500per yearfor five years at an annual interest rate of 8 percent.c. The present value of a savings bond that will be worth $2,000 after earning 6 percent interest for four years.4)Hal Thomas wants to establish a savings fund from which a community organization could draw $800 a year for 20 years. If the account earns 6 percent, what amount would he have to deposit now to achieve this goal?5)Bill and Sally Kaplan have an annual spending plan that amounts to $36,000. If inflation is five percent a year for the next three years, what amount would the Kaplans need for their living expenses?