1) If you put up $35,000 today in exchange for a 6.25 percent, 16-year annuity, what will the annual cash flow be?

Multiple Choice $2,187.50 $3,523.03 $3,766.62 $9,263.73 $3,287.17

2) You are planning to make monthly deposits of $110 into a retirement account that pays 9 percent interest compounded monthly. If your first deposit will be made one month from now, how large will your retirement account be in 17 years?

Multiple Choice $632,172.09 $52,681.01 $55,315.06 $50,046.96 $48,805.29

3) Given an interest rate of 7.5 percent per year, what is the value at date t = 9 of a perpetual stream of $900 payments with the first payment at date t = 16?

Multiple Choice $7,931.05 $7,620.03 $7,775.54 $7,233.06 $12,100.00