1 . Find the simple interest owed for the following loan.

Principal : 2850 rate: 10.5% years 4 and 1/2 years.

The interest is

round to the nearest cent asneeded.)

2.Parents wish to have $140,000 available for achild's education. If the child is now 7 yearsold, how much money must be set aside at 3% compounded semiannually to meet their financial goal when the child is18?

The amount that should be set aside is

.

(Round up to the nearestdollar.)

3.Adam wishes to have $20,000 available in 18 years to purchase a new car for his son as a gift for his highschool graduation. To accomplish thisgoal, how much should Adam invest now in a CD that pays 1.77% interest compounded quarterly?

Adam should invest

(Round to the nearest cent asneeded.)

4.Tanja wants to establish an account that will supplement her retirement income beginning 25 years from now. Find the lump sum she must deposit today so that $300,000 will be available at time ofretirement, if the interest rate is 6%, compounded quarterly.

How much must Tanjainvest?

(Round to the nearest cent asneeded.)

5.Suppose a savings and loan pays a nominal rate of 4.1% on savings deposits. Find the effective annual yield if interest is compounded quarterly.

The effective annual yield is ?

(write an integer or a decimal rounded to the nearest thousandth asneeded.)