1. Whats the interest rate of a 5-year, annual $6,000 annuity with present value of $25,000? (Round your answer to 2 decimal places.) Annunity interest rate: ?

2.

A local furniture store is advertising a deal in which you buy a $4,800 living room set with three years before you need to make any payments (no interest cost is incurred).

How much money would you have to deposit now in a savings account earning 4 percent APR, compounded monthly, to pay the $4,800 bill in three years? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

Present Value: ?

How much would you have to deposit in the savings account each month to be able to pay the bill? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

Annunity payment: ?