1. (1 + i)n A. PVIF B. FVIF C. PVIFA D. FVIFA

2. In a typical loan amortization schedule, the dollar amount of interest paid each period .

A. increases with each payment

B. decreases with each payment

C. remains constant with each payment

D. None

3 To save for a new car, Samuel will invest $19,000 at the end of each year for the next 5 years. The interest rate is 8%. What is the future value?

A. $95,000

B. $18,980

C. $111,473

D. $85,614

4. In a typical loan amortization schedule, the total dollar amount of money paid each period .

A. increases with each payment

B. decreases with each payment

C. remains constant with each payment

D. None of above

5. You are considering investing in a zero-coupon bond that sells for $250. At maturity in 16 years it will be redeemed for $1,000. What approximate annual rate of growth does this represent?

A. 8 percent.

B. 9 percent.

C. 12 percent.

D. 25 percent.