Solve the following questions using a financial calculator. Submit your answers in Excel. Show calculator inputs (ie. N, PV, etc.) to get partial credit.

1. How much would you pay for the right to receive $12,000 at the end of 15 years if you can earn a 15% return on a real estate investment with similar risk?

2. What constant amount invested at the end of each year at a 10% annual interest rate will be worth $20,000 at the end of five years?

3. Your father will convey a property to you in 10 years. If the property is expected to be worth $500,000 when you receive it, what is the present value of the property? Your discount rate is 15%.

4. What is the NPV of $600 received for the next four years and $1,500 received at the end of the fifth year if your required return is 10%?

5. Assuming no income or holding costs during the period, if you purchased a vacant parcel of land five years ago for $1,350,000, how much would you have to sell it for to yield a 12% annual return on your investment?