Question: 1. a. Johnny invests $100 for 3 years. Calculate the value of investment if the Simple interest is 10% Answer Simple interest b. Calculate

1. a. Johnny invests $100 for 3 years. Calculate the value of investment if the Simple interest is 10% Answer Simple interest b. Calculate the value of the investment if the Compound interest is 10%. Answer: c. If $1,000 is invested for 2 years at compound interest of 10% per year, what will be the deposit have grown to by the end of the period? Answer: 2. Discounting single sums Money Bags is expecting to receive $16,751 in six years. Interest rate will be 5% for the whole years. Calculate the present value of Money Bag's receipt From the PV table the interest factor for 6 years at 5% is.. . 3. We need S10,000 at the end of two years. Assuming we could earn interest at 7% p.a, how much should we invest now? PV =

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