Question: please need help on these 2, Explain the Time Value of money concept. What are the factors that determine time value of money. 3. You
2, Explain the Time Value of money concept. What are the factors that determine time value of money. 3. You have 3 investments in a portfolio: A, B and C with the following annual payments: At an annual interest rate of 10% which investment will cost the least? Give real life examples for B and C. like type of bank loan or Investment. Yr A. $150 250 1 $250 250 $0 0 3 350 250 750 Candice has $100,000 that she is looking to invest. Her friend Gregory approached her with an investment opportunity that could double her money in 11 years. At what rate will the investment generate to achieve that goal. 4 5. Guanqi will receive $7500 a year for 10 years from her trust. At a rate of 7% what will be the present value of the future payments 6. You invest $80,000 and generate an income of $25,000 per year for the next 4 years. What is your rate of return? What is the present value of $100,000 payable in 20 year if the going interest rate is 8%? 7. 8. Eric received a bequest which promises to make and annual payment of $1,200 forever. How much is it worth today at a rate of 6%
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