You plan to graduate in 4 years, and then travel to Italy for 3 weeks. The trip will cost $ 1,600. 1. If you can earn an annual interest rate of 8%, how much do you have to save right now to have enough money for your trip? 2. Instead, the interest rate is 0.667% per month. How much do you need to save right now?

It’s time to get a new laptop. The laptop is $1,800.  You could put money aside for it each month for one year.  If you put the money in an account that earns 4.5%, how much will you have to save each month?Your other option is to finance it over two years paying 7.1%. How much would your monthly payment be?What are the total acquisition costs of each option?

You found the perfect car but costs $30,000. How much is your monthly payments if your bank charges 2 5% interest for 5 years?

You plan to graduate in 4 years, and then travel to Italy for 3 weeks. The trip will cost $1,500. If you can earn an annual interest rate of 8%, how much do you have to save right now to have enough money for your trip? Instead, the interest rate is 0.667% per month. How much do you need to save right now?

You want to go to China for 2 months. You estimate the trip will cost 11,000 in today’s dollars. You want to go in 6 years. If inflation is 3% a year, what is your financial goal? If you make a one-time deposit today at 4% over the period, how much do you deposit?

You want to buy a house in 4 years. The type of house you want to purchase currently costs $ 160,000 but housing costs are rising 4% per year. The down payment you will need is 10% of the cost of the home (which will be the cost four years from now). You have $ 5,000 now (and only now, not an extra $5,000 each year) that you will (today) put into a savings account paying 2% APR monthly and you will use this to HELP cover the down payment. (You must come up with the rest of the down payment somehow. You can only borrow 90% of the final cost of the house.) You expect a 7% APR compounded monthly, with monthly payments for a 30 year loan. The amount the house would be expected to cost in 4 years is: Question 6 options: $188,000 $160,000 $187,177 $179,978 $200,000

You want to purchase a new car and you are willing to pay $20,000. If you can invest at 10% per year and you currently have $15,000, how long will it be before you have enough money to pay cash for the car?

It has been proposed that in order to retire with the same lifestyle you currently have, you will need to have at least 1.5 million dollars saved by retirement. How much would you have to invest right now in order to achieve your goal? Assume you can find an investment that pays 5.6% compounded monthly. You're current age is 30 and youwould like to retire in 35 years.      2.  What interest rate would you need in order to reach this goal if you             had $8000 to invest?