What is the present value of the following future amounts? .$400 to be received 6 years from now discounted back to present at 6%

5.What is the future value of each of the following streams of payments?

a.$500 a year for 10 years compounded annually at 6% _________________

b.$150 a year for 5 years compounded annually at 14% _________________

6. What is the present value of the following annuities?

a.$3,000 a year for 10 years discounted back to the present at 8% ________________

b.$50 a year for 3 years discounted back to the present at 3% _________________

7.Trish Nealon, who recently sold her Porsche, placed $20,000 in a savings account paying annual compound interest of 7%. Calculate the amount of money that will have accrued if she leaves the money in the bank for 1, 5, and 15 years.

a. 1 year ___________________

b. 5 years ___________________

c. 15 years ___________________

8. Sales of a new marketing book were 10,000 copies this year and were expected to increase by 16% per year. What are expected sales in year three? ___________________

9. You lend a friend $15,000, for which your friend will repay you $37,313 at the end of 5 years. What interest rate are you charging your friend?

___________________