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1. Determine the future value on a savings of $5,000 for 6 years (N) compounded quarterly, at 3% per annum. 2. Determine and compare using

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1. Determine the future value on a savings of $5,000 for 6 years (N) compounded quarterly, at 3% per annum. 2. Determine and compare using same information on #1 above but compounded monthly 3. You have an opportunity to invest your $25,000.00, in a local company that has offered to pay you 8% in the first year, and 9% in the second year. What is the total principal and interest at the end of the second year? Note that interest payments are done at the end of each period (year). 4. Related to Question 3 above, determine and compare, for the same two-year period, if a local bank has made you a counter offer to keep your $25,000.00 in the bank and promises to pay you 8.5% interest per annum, compounded quarterly. Would you accept this offer from the bank, when compared to the offer made on Question 3? 5. Calculate the average annual interest rate of an initial investment of $25,000.00, and future value of $30,000.00, for 3 years (N)

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