1-What is the future value of $12,000 a year for 25 years at 12 percent interest? solution?

$878,406

$1,711,414

$1,600,006

$1,989,476

$2,021,223

2-your insurance agent is trying to sell you an annuity that costs $230,000 today. by buying this annuity, your agent promises that you will receive payments of $1,255 a month for the next 30 years. what is the rate of return on this investment?

3-You receive a credit card application from Shady Banks Savings and Loan offering an introductory rate of .4 percent per year, compounded monthly for the first six months, increasing thereafter to 16.4 percent compounded monthly. Assume you transfer the $5,400 balance from your existing credit card and make no subsequent payments.

How much interest will you owe at the end of the first year?