Wells, Inc., has identified an investment project with the following cash flows. Year Cash Flow 1 $ 865 2 1,040 3 1,290 4 1,385 a. If the discount rate is 8 percent, what is the future value of these cash flows in Year 4? (Do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.) b. What is the future value at an interest rate of 11 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.) c. What is the future value at an interest rate of 24 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.)

Future value is calculated using the formula:

FV = PV*(1+r)n

FV = Future value, PV = Present vlaue, r = interest rate

C1 = 865, C2 = 1040, C3 = 1290, C4 = 1385

FV of C1 at t:4 = C1*(1+r)3

FV of C2 at t:4 = C2*(1+r)2

FV of C3 at t:4 = C3*(1+r)1

FV of C4 at t:4 = C4*(1+r)0 = C4

Future value is the sum of Future values of all the cash flows

Future value = C1*(1+r)3 + C2*(1+r)2 + C3*(1+r)1 + C4

a. When discount rate = r = 8%

Future value = C1*(1+r)3 + C2*(1+r)2 + C3*(1+r)1 + C4 = 865*(1.08)3 + 1040*(1.08)2 + 1290*(1.08)1 + 1385

Future value = 1089.65088 + 1213.056 + 1393.2 + 1385 = 5080.90688

b. When Discount rate = r = 11%

Future value = C1*(1+r)3 + C2*(1+r)2 + C3*(1+r)1 + C4 = 865*(1.11)3 + 1040*(1.11)2 + 1290*(1.11)1 + 1385 = 1183.000815 + 1281.384 + 1431.9 + 1385 = 5281.284815

c. When discount rate = r = 24%

Future value = C1*(1+r)3 + C2*(1+r)2 + C3*(1+r)1 + C4 = 865*(1.24)3 + 1040*(1.24)2 + 1290*(1.24)1 + 1385

Future value = 1649.22976 + 1599.104 + 1599.6 + 1385 = 6232.93376

if it is for a job, then you should learn everything you can about the job, like what does it involve, what qualification is required and how you are the right person for that job. dress appropriately for the interview. get plenty of rest the night before. good luck!