What is the annual deposit for the next two years

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1. A pine plantation returns nothing to its owner in the first 3 years. In the following 2 years, the returns are $100,000 and $150,000, respectively. The returns can be invested at 8% per annum.

Please fill in the blank below the correct answer, rounded to 2 decimal places.

The present value to the owner is_______________?

2. __________ investment decisions is a potential problem in using the IRR method if ___________ one discount rate makes the NPV of an investment zero.  

3. An agency relationship exists between  ________ and  ________, with the former hiring the latter as  _________ to represent their interests.

4. You are working part-time and planning a holiday which requires $5,000 for flights and accommodation in 2 years. What is the annual deposit for the next 2 years? Assume a 3% per annum interest rate throughout.

Fill in the blank below with the correct answer, rounded to 2 decimal places.

You need to save_____________ every year for the next 2 years.

Reference no: EM131859418

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