18. Assume that a bank pays you 4% interest per (every) quarter on a savings account. (The periodic rate is 4%, and the 4% is paid every 3 months.) Assume that you save $200,000 in that account today. How much will you have in that account exactly one year from today? 19) You will buy a new car today. You will borrow the full price of the car. You will get a seven year loan that will be paid back annually. It will take you the full seven years to pay back the loan. (In other words, you will not pay it off early.) You will pay back the same amount every year (an annuity). The auto dealership offers you 3 choices. 1) Pay $30,000 for the car at 0% interest for the seven years. 2) Pay $27,000 for the car at 2% interest for the seven years. 3) Pay $25,000 for the car at 5% interest for the seven years. Which do you pick? A) B) C) #1 #2 #3 20. If you presently have 40,000 dollars invested at a rate of 21 percent, compounded annually, how many years, to the closest year, will it take for your investment to triple? It must triple. a. 6 years b. 7 years c. 8 years d. 5 years e. 4 years