11) Your Uncle has $375,000 and wants to retire. He expects to live for another 25years, and he also expects to earn 7.5% on his invested funds. How much could he withdraw at the bginning of each of the next 25 years and end up with zero in the account?

A) $31,294.42 B) $28,243.21 C) $32,859.14 D) $29,729.70 E)$34,502.10

12) Last years Dania Corporation's Sales were $525 million. If sales grow at 7.5% per year, how large (in millions) will they be 8years later?

A)$1,032.30 B)$845.03 C)$936.33 D)$983.14 E)$889.51

13) Janice has $5,000 invested in a bank that pays 3.8% annually. How long will it take for her funds to triple?

A) 27.98 B) 23.99 C) 26.58 D)25.26 E) 29.46

Your uncle has $375,000 and wants to retire. He expects to live for another 25 years, and be also expects to earn 7.5% on his invested funds. How much could be withdraw at the beginning of each of the nest 25 years and end up with zero in the account? a. $31, 294, 42 b. $28, 243, 21 e. $32, 859, 14 d. $29, 729, 70 e. $34, 502, 10 Last year Dania Corporation's sales were $525 million. If sales grow at 7.5% per year, how large (in millions) will they be 8 years later? a. $1, 032.30 b. $845.03 c. $936.33 d. $983.14 e. $889.51 Janice has $5,000 invested in a bank that pays 3.8% annually. How long will it take for her funds to triple? a. 27.98 b. 23.99 c. 26.58 d. 25.26 e. 29.46 Suppose the yield on a 10-year T-bond is currently 5.05% and that on a 10-year treasury Inflation Protected Security (HPS) is 2.15%. Suppose further that the MRP on a 10-year T-bond is 0.90%, that no MRP is required on a TIPS, and that no liquidity problem is required on any T-bond. Given this information, what is the expected rate of inflation ever the next 10 years? Disregard cross-product berms, i.e. If averaging is required, use that arithmetic average. a. 2.21% b. 2.10% c. 2.00% d. 1.90% e. 1.81% Suppose the real risk-free rate is 3.25%, the average future inflation rate is 1.35%, and a maturity risk premium of 0.7% per year to maturity applies to both corporate and T-bonds, i. e., MRP =0.07%(t), where t is the number of years to maturity. Suppose also that a higher would the rate of return be on a 10-year A-rated corporate bond than on a 3-year Treasury bond? Here we assume that the pure expectations theory is NOT valid. Disregard cross-product terms, i.e., if averaging is required, use the arithmetic average. a. 2.03% b. 2.13% c. 1.75% d. 1.84% e. 1.93%