05 What is the present value of $50,000 in 15 years if the appropriate discount rate is 8% per year, compounded quarterly? Put differently, if you need $50,000 in 15 years, how much would you need to invest today if you can earn 8% per year, compounded quarterly? 05 Suppose you are interested in buying a new car. It costs $30,000. You have saved $5000 for a down payment, leaving you to finance $25,000. The interest rate on a 5-year auto loans is 4%. What will your monthly payment be? RAA 05 How long will it take you to pay off a debt of $10,000 if your interest rate is 18% per year and you make annual payments of $2,000? RADA