1) You are thinking of purchasing a house. The house costs $300,000 . You have $43,000 in cash that you can use as a down payment on the house, but you need to borrow the rest of the purchase price. The bank is offering a 30-year mortgage that requires annual payments and has an interest rate of 8% per year. What will be your annual payment if you sign this mortgage?

2) An investment pays you $30,000 at the end of this year, and $15,000 at the end of each of the four following years. What is the present value (PV) of this investment, given that the interest rate is 5% per year?

3) Your grandmother has been putting $3,000 into a savings account on every birthday since your first (that is, when you turned one). The account pays an interest rate of 12%. How much money will be in the account immediately after your grandmother makes the deposit on your 18th birthday?