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1. An asset is projected to generate annual cash flows of $7,000 for the first 10...

1.
An asset is projected to generate annual cash flows of $7,000 for the first 10 years starting one year from today followed by a final cash flow of $11,000 in the 11th year. If the discount rate is 8.3%, how much is this asset worth today? Round to the nearest cent.



2.
Starting at the end of this year, you plan to make annual deposits of $7,000 for the next 10 years followed by a final deposit of $10,000 in year 11. The deposits earn interest of 5.4%. What will the account balance be by the end of 14 years? Round to the nearest cent.

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