What is the present value of the following cash-flow stream if the interest rate is 6%? (Do not round interme calculations. Round your answer to 2 decimal places.) Year Cash Flow $ 120 320 220 Present value A property will provide $10,395 at the end of each year forever. If its value is $126,000, what must be the discount rate? (Enter your answers as a percent rounded to 2 decimal places.) Discount rate A local bank will pay you $152 at the end of each year for your lifetime if you deposit $3,200 in the bank today. If you plan to live forever, what interest rate is the bank paying? (Enter your answers as a percent rounded to 2 decimal places.) Interest rate A local bank advertises the following deal: Pay us $100 at the end of each year for 11 years and then we will pay you (or your beneficiaries) $100 at the end of each year forever. a. Calculate the present value of your payments to the bank if the interest rate is 9.00%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value b. What is the present value of a $100 perpetuity deferred for 11 years if the interest rate is 9.00%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value c. Is this a good deal? No Yes A famous quarterback just get a new compensation contract, which provides $3.4 million a year for 4 years. A less famous receiver signed a new compensation contract, which provides $3 million now and $2.9 million a year for 4 years. The interest rate is 8%. a. What is the PV of the quarterback's contract? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.) Present value million b. What is the PV of the receiver's contract? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.) Present value million c. Who is better paid? Quarterback Receiver