1. Suppose you are going to receive $19,000 per year for 12 years at the end of each year; thus you receive the first payment one year from today. Compute the present value of the cash flows if the appropriate interest rate is 8 percent. Round it two decimal places, and do not include the $ sign, e.g., 123456.78.
2. Suppose an investment that pays $41,000 per year forever. If the required return on this investment is 9 percent, how much are you willing to pay for the investment today? (Do not include the dollar sign ($), and round your answer to two decimal places. (e.g., 123456.45)