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(1 point) You have $2,000 and plan to purchase a 10 -year certificate of deposit (CD) that pays 6.5% interest, compounded annually. How much will
(1 point) You have $2,000 and plan to purchase a 10 -year certificate of deposit (CD) that pays 6.5% interest, compounded annually. How much will you have when the CD matures? 2. (1 point) Cara receives a 7-year, 8 percent loan with a bank. To pay off the loan she will need to make an annual end-of-year payments of $960.43. How much does she borrow from the bank? \begin{tabular}{llll|} \hline N= & PV= & PMT= & FV= \\ CPT (compute): & & Calculated Answer: \\ \hline \end{tabular} 3. (1 point) James plans to fund his individual retirement account each year with a $2,000 deposit for 20 years. If he can earn an annual interest rate of 8 percent on his deposits, the amount in the account upon retirement ( 20 years later) will be \begin{tabular}{|lll|} \hline N= & PV= & PMT= \\ CPT( compute ): & & PV= \\ \hline \end{tabular} 4. (1 point) Janice would like to send her parents on a cruise for their 25 th wedding anniversary. She has priced the cruise at $15,000 and she has 5 years to accumulate this money. Suppose she can earn an interest of 10% annually. Janice wants to save some money every year, starting from the end of this year, for five years. How much does she deposit annually? N= CPT( compute ): PV=CalculatedAnswer:PMT=FV=
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