(Solved): 1. What is the formula of the present value \( (\mathrm{PV}) \) of a future value \( (\mathrm{FV}) ...

1. What is the formula of the present value \( (\mathrm{PV}) \) of a future value \( (\mathrm{FV}) \) received \( \mathrm{n} \) years in the future? [From your textbook] \[ \mathrm{PV}=\mathrm{FV} /(1+\mathrm{i}) \wedge \mathrm{n} \] 2. Using the formula from question 1, determine the present value of \( \$ 1,000 \) in 5 years if the interest rate is 8 percent. \[ 680.58 \] 3. Based on your answer from question 2, determine the opportunity cost of waiting.