1.James just financed a used machine through his credit union. His loan requires payments of $900 a month for three years. Assuming that all payments are paid on time, his last payment will pay off the loan in full. What type of loan does he have?

A. Amortized

B. Pure discount

C. Complex

D. Lump sum

2.Today, Cathy wants to invest less than $2,000 with the goal of receiving $2,000 back some time in the future. Which of the following statements are incorrect? a. The period of time she has to wait until she reaches her goal is unaffected by the compounding of interest. b. The higher the rate of interest she earns, the shorter the time she will have to wait to reach her goal. c. She will have to wait longer if she earns 6 percent compound interest instead of 6 percent simple interest. d. The period of time she has to wait decreases as the amount she invests today increases.

A. all of the above

B.a

C. a and c

D. b, c, and d

3.For the year 2019, Gray, Inc. had cash flow from assets of $48,100 of which $21,000 flowed to the stockholders. The interest paid was $2,000. What is the amount of the net new borrowing?

!$18,300

B-$25,100

C-$14,900

D$24,800

4. ABC Store has sales of $90,600. The cost of goods sold is $48,200 and the other costs are $18,700. Depreciation is $300 and the tax rate is 40 percent. What is the net income?

A$13,204

B$8,382

C$14,040

D$4,906