Question: 1. An annuity is set up that will pay $1,500 per year for ten years. What is the present value (PV) of this annuity given

1. An annuity is set up that will pay $1,500 per year for ten years. What is the present value (PV) of this annuity given that the discount rate is 7%? $10,535 0 B. $14,749 C. $12,642 D. $6,321 ID: 4.3-2 2. Investment B:-$1 million $550,000 $500,000 $375,000 The timeline of an investment is shown above. If the cost of capital is 6%, what is the profitability index of this investment? OA. 1.115 O B. 0.307 C. 0.279 D. 0.697 ID: 8.6-5

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