1. You plan to retire 31 years from now. You expect that you will live 25 years after retiring. You want to have enough money upon reaching retirement age to withdraw $150,000 from the account at the beginning of each year you expect to live, and yet still have $2,700,000 left in the account at the time of your expected death (56 years from now). You plan to accumulate the retirement fund by making equal annual deposits at the end of each year for the next 31 years. You expect that you will be able to earn 13% per year on your deposits. However, you only expect to earn 9% per year on your investment after you retire since you will choose to place the money in less risky investments. What equal annual deposits must you make each year to reach your retirement goal?

	$5,110.58
	$5,774.96
	$4,832.74
	$4,276.76
	$6,521.89

2. Within Year, Inc. has bonds outstanding with a $1,000 par value and a maturity of 20 years. The bonds have an annual coupon rate of 12.0% with semi-annual coupon payments. You would expect a quoted annual return of 18.0% if you purchased these bonds. What are the bonds worth to you?

	$726.14
	$735.37
	$1,451.39
	$677.28
	$1,322.72

3. Again, Inc. bonds have a par value of $1,000, a 22 year maturity, and an annual coupon rate of 13.0% with annual coupon payments. The bonds are currently selling for $982. The bonds may be called in 3 years for 113.0% of par. What quoted annual rate of return do you expect to earn if you buy the bonds and company calls them when possible?

	11.88%
	13.26%
	19.21%
	14.51%
	17.48%