1. Steven pays $337.69 for a car lease at the beginning of every half-year for 8 years and 6 months at 5.24% compounded semi-annually.

a. What type of annuity is this?

b. How many payments are there in this annuity?

2. How much should Vincent have in a savings account that is earning 3.25% compounded monthly, if she plans to withdraw $2,050 from this account at the end of every month for 5 years?

3. Justin saved $60 at the end of every month for 2 years in her bank account that earned 3.70% compounded monthly.

a. What is the accumulated value of her savings at the end of the period?

b. What is the interest earned over the period?

4. Calculate the present value of a loan that could be cleared by payments of $3,400 at the end of every 6 months for 8 years if money earns 7.44% compounded semi-annually.

5. Vincent purchases a retirement annuity that will pay him $3,000 at the end of every six months for the first twelve years and $200 at the end of every month for the next seven years. The annuity earns interest at a rate of 4.5% compounded quarterly.

a. What was the purchase price of the annuity?

b. How much interest did Vincent receive from the annuity?

6. Peter deposited $800 at the end of every month into an RRSP for 6 years. The interest rate earned was 3.25% compounded semi-annually for the first 2 years and changed to 3.50% compounded monthly for the next 4 years. What was the accumulated value of the RRSP at the end of 6 years?