Pick 4 оf these 8 questiоns. (Remember thаt interests rаtes аre quоted annually in your answers, not the periodic rates). A. The maximum monthly mortgage payment you can make is $850. The current interest rate is 8.75%. For a mortgage of 25 years, what is the maximum amount of the purchase price that you can finance? N________ I/Y________ PV___________ PMT__________ FV__________ B. What annual interest rate is needed to compound a series of equal payments of $495.66 every month for 2½ years to a total future value of $16,000? N________ I/Y________ PV___________ PMT__________ FV__________ c. What is the initial balance of a loan that can be paid off in one year with payments of $75.94 every month at a 6% stated interest rate? N________ I/Y________ PV___________ PMT__________ FV__________ D. The maximum monthly mortgage payment you can make is $850. The current interest rate is 6.75%. For a mortgage of 20 years, what is the maximum amount of the purchase price that you can finance? N________ I/Y________ PV___________ PMT__________ FV__________ E. You won the lottery and are entitled to receive annual payments of $1 million dollars for the next 20 years starting at the end of the first year or take a lump sum payment of $9,500,000. If you could earn 6% annually on your investments, which option should you choose? (justify the answer) N________ I/Y________ PV___________ PMT__________ FV__________ F. How long does it take to double $5,000 at a rate of 12% per year compounded quarterly? N________ I/Y________ PV___________ PMT__________ FV__________ G. Find the future value 40 years from now of an investment of $7000 today if the interest rate is 6.65% compounded semiannually N________ I/Y________ PV___________ PMT__________ FV__________ H. If you saved $7000 toward retirement each year for 40 years in an IRA, and the assets in that IRA earned 8% per year on average, How much would you have in that account for retirement? N________ I/Y________ PV___________ PMT__________ FV__________ For your answers Write each letter (a, b, c, ... for the ones you skip, write "SKIP" for the ones you solve, write your answer and then the support like : $XXX.XX N________ I/Y________ PV___________ PMT__________ FV__________