What annual interest rate would you need to earn if you wanted a $600 per month contribution to grow to $46,500 in six years? (Do not round intermediate calculations and round your final answer to 2 decimal places.)  ANNUAL INTEREST RATE____%

Q 32 What's the present value, when interest rates are 8.5 percent, of a $225 payment made every year forever? (Round your answer to 2 decimal places.) PRESENT VALUE?

Q 34 What is the future value of a $830 annuity payment over six years if interest rates are 10 percent? (Do not round intermediate calculations and round your final answer to 2 decimal places.) FUTURE VALUE?

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Chapter 6 Discussion Q2 What is the effective cost of the following combined loan? Loan amount 180,000 40,000 220,000 Term 20 years 10 years Monthly Payment (Year 1-10) -1,619.51 -597.24 -2,216.75 Monthly Payment (Year 11- 20) -1,619.51 0 -1,619.51

Problem 6-12 Calculating EAR [LO4] Find the EAR in each of the following cases: (Use 365 days a year. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Stated Rate (APR) Number of Times Effective Rate Compounded (EAR) 8.5 % 17.5 Quarterly Monthly % 13.5 Daily 10.5 Infinite

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q 13 A local furniture store is advertising a deal in which you buy a $6,000 living room set with three years before you need to make any payments (no interest cost is incurred).How much money would you have to deposit now in a savings account earning 6 percent APR, compounded monthly, to pay the $6,000 bill in three years? (Do not round intermediate calculations and round your final answer to 2 decimal places.)PRESENT VALUE?   How much would you have to deposit in the savings account each month 6 percent APR to be able to pay the bill? (Do not round intermediate calculations and round your final answer to 2 decimal places.)ANNUITY PAYMENT?

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