1.Jack borrows $18,000 to be repaid in 3 equal year-end amounts over 3 years. If the interest rate is 11.9% per annum compounded quarterly, Jacks annual repayment is (rounded to nearest dollar; dont include the $ sign or commas):

2.Jack needs $4900 in 6 years from today to buy a holiday. He invests $2700 today. Find the effective annual rate of interest that Jack needs to earn on this amount (as a %, 2 decimal places) in order to reach his goal. (Solve using excel =RATE function; Answer in percentage to two decimals without the % sign e.g. 1.888 is 1.89)

3.Your uncle offers to sell you his vintage Rolls Royce. He suggests a payment plan where you pay just $18,000 today, $7100 in 8 months and $55,000 in exactly 21 months from today. If the interest rate is 14.9% per annum compounding monthly, what is the value of the offer (in present day dollars, rounded to the nearest dollar; dont show $ sign or commas)?

4.You inherit $554,000. You can receive the $554,000 in one lump sum payment today or, alternatively, receive two amounts: $354,000 in 11 months and $220,000 in 21 months from today. If you can earn 5.7% per annum compounding monthly on your monies, what is the value of the option to receive two payments (in present day value)? (to nearest whole dollar,; dont use $ sign or commas)

5.You join a gym for 2 years on a payment plan that requires you to pay $1,000 today, $170 in 8 months from today and $690 in 18 months from today. Alternatively you could pay $1800 today. If the interest rate is 6.2%p.a. compounding monthly, what is the advantage that the payment plan has over the upfront payment? (expressed in present day value rounded to the nearest cent; do not show $ sign or comma separators; if the payment plan is more costly than $1,800 today, your answer will show a negative eg. -300.35

6.Your business will pay you distributions of $18,000 in 9 months and another $11,000 in 19 months. If the discount rate is 6% per annum (compounding monthly) for the first 12 months, and 10% per annum (compounding monthly) for the next 7 months, what single amount received today would be equal to the two proposed payments? (answer to nearest whole dollar; do not use $ sign or commas)