1) You are considering the purchase of an ordinary annuity that will pay SR4,000 a year for the next 20 years, to yourself or to a designated survivor. If you can earn 8 percent annual interest over the next 20 years, what is the maximum amount you should pay for the annuity?

2) How long would it take for your money to triple if you invested it at 9%, compounded annually?

3) The stock of Tasnie is currently selling for SR25 a share. The company is expected to pay a dividend of SR0.75 at the end of this year. If you bought Tasnie stock today and sold it for SR29 after receiving the dividend, what rate of return would you earn?

4) You have just paid SR1,063.65 for a bond with 9 years remaining to maturity. Interest on the bond is paid semiannually. If the current rate of return for similar investments is a nominal 8%, what is this bond's coupon rate? Round your answers to two decimal places.