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16. You invest $1,000 at 6% compounded monthly. How much will you have in 1.5 years? (Hint: use 4 decimal places for your calculations.) A.
16. You invest $1,000 at 6% compounded monthly. How much will you have in 1.5 years? (Hint: use 4 decimal places for your calculations.) A. $1,200.80. B. $1,941.25. C. $1,093.90. D. $2,157.30. E. None of the above. 17. If the interest rate this year is 8 percent and the interest rate next year will be 10 percent, what is the present value of a payment of $1 to be received in 2 years? (Hint: use 4 decimal places for your calculations.) A. $1.1886. B. $1.8417. C. $0.9562. D. $0.7854. E. None of the above. 18. A person plans to retire in 10 years and, through annual savings, wants to build her wealth to $100,000 by that time. Money can be invested to yield interest of 14 percent per year. How much will she set aside at the end of each of the next 10 years in order to achieve her objective? (Hint: use 2 decimal places for your calculations.) A. $5,866.22. B. $3,225.67. C. $5,186.72. D. $4,879.44. E. None of the above
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