1) What is the future value of the following cash flows in year 5 with an interest rate of? 6%?
Year Cash Flow
1 $200
2 $400
3 $600
4 $800
5 $1000
(2) Your current investment will mature in 2 years for? $30,000, at which time you will reinvest the funds for 10 more years at? 7% per year. What will be the value of your investment at the end of the 12th? year?