14. You purchase a 90-day treasury bill for $99.805 on September 30, 2012. a) What annual simple rate did you realize.- b) You sold the treasury bill on October 31 when other bills were earning 6% simple. How much money did you make(lose)? 15. A 90-day, $1,000 face value promissory note bears interest at 10% simple is dated February 9, 2012. The note is sold on April 6th when the interest rate is 12% what is the value of the note on April 6th? 16. You have a debt that comes due on November 26th 2005 and another that comes due on April 6th of the following year. You would like to celebrate Valentines day by paying off the debts with a single payment on February 14th 2006. How much should you pay if interest is 5% simple. Both debts are $1000. Use Feb 14th as the focal date. 1. You would like to save to purchase a Yugo car. You deposit $3,500 into a GIC that pays 8% interest, compounded quarterly. You need to save at least $5,000 to buy the car. If you make no more contributions, how many years will it take you to reach your goal? 2. An investment of $1,500.00 made 42 months ago is now worth $2.110.65. What nominal rate of interest, compounded semi-annually, did this investment earn?- 3. (a) What nominal rate, compounded semi-annually, is equivalent to 9% compounded quarterly? (b) What nominal rate, compounded monthly, is equivalent to 9% compounded quarterly? (c) What nominal rate, compounded quarterly, is equivalent to 12% compounded annually? 4. A debt of $6,000 due today and $8.000 due 24 years from today is to be paid off with 2 payments. The first payment is to be made 6 months from today, and a second payment, $5,000 larger than the first 15 months from today. What should the two payments be if money is worth 9%, compounded quarterly? Use 15 months as the focal date. 5. You were supposed to pay $10,000 today. Instead, you arrange with the bank to pay $3,000 12 months from today, followed by 2 equal payments in 18 months and in 30 months from today. The interest rate is 8% compounded quarterly. What is the size of each payment? Use 30 months as the focal date