1. What is the net annual cost of the following chequing accounts? a. Monthly fee, $4.35; processing fee, 25 cents per cheque; cheques written, an average of 2 a month; $0.50 per debit transaction over the 20 debit transactions per month free with an average of 60 per month made. (Round your final answer to 2 decimal places. Omit the "$" sign in your response.) Annual cost $ b. Interest earnings of 4 percent with a $500 minimum balance; average monthly balance, $600; monthly service charge of $13 for falling below the minimum balance, which occurs three times a year (no interest earned in these months). (Round your final answer to 2 decimal places. Omit the "$" sign in your response.) Net cost $

2.

What amount would you have if you deposited $1,800 a year for 20 years at 6 percent (compounded annually)? Use Exhibit 1B-2. (Round time value factors to 3 decimal places and final answer to 2 decimal places. Omit the "$" sign in your response.)