16. To supplement your retirement in exactly 35 years, you estimate that you need to accumulate $250,000 by your retirement date. You plan to make equal deposits at the end of each of those 35 years into a mutual fund that promises you 10% compounded annually. Determine the amount of the annual deposits.

17. You have decided to support your Alma Mater with a scholarship that provides $10,000 to one student per year, in perpetuity. Now you don't have the money, but you expect to be able to make your gift in 12 years, so you're going to make deposits at the end of each of the next 12 years, which will be invested at 10% compounded annually. Suppose your Alma Mater also invests at that rate.

to. Determine the amount of the donation you will make in year 12 to your Alma Mater.

b. Determine the annuities that will allow you to achieve your goal.

18. Calculate the amount of monthly payments on a loan of $25,000 payable in 5 years with 12% annual interest, computed monthly.

19. Which loan alternative would you choose? (just take into account the interest rate): a. loan at 15.5% per annum, computed annually

b. loan at 15% per annum, computed quarterly

20. A Montana state bond can be converted to $1,000 within 5 years of purchase. If the Montana bonds are comparable to Wyoming bonds that pay 5% compounded annually, determine the price of the Montana bonds. They are zero coupon bonds.