2. [5 marks) A 150 day, 8% interest-bearing promissory note for $1200 dated October 28, 2007 is sold on January 31, 2008, at a simple discount rate of 11%. Determine the proceeds of the note. Draw a complete time diagram. 3. [5 marks] Catherine and Tyler are considering the following investment opportunities for a five year period: i) A tax-free savings account paying an annual interest rate of 4.5% compounded quarterly. ii) A GIC that pays interest at 152 = 4.49%. To 3 decimals, determine the annual effective interest rates (as percents) corresponding to options (i) and (ii). Which of the options should they choose? 4. (4 marks] Jason just purchased a brand new car. He made a down payment of $5 000 and has agreed to pay $10000 in one year and $15 000 in two years. If interest on the payments is 112 = 7.5%, what was the original price of the car? Include a time diagram in your solution. 2. [5 marks) A 150 day, 8% interest-bearing promissory note for $1200 dated October 28, 2007 is sold on January 31, 2008, at a simple discount rate of 11%. Determine the proceeds of the note. Draw a complete time diagram. 3. [5 marks] Catherine and Tyler are considering the following investment opportunities for a five year period: i) A tax-free savings account paying an annual interest rate of 4.5% compounded quarterly. ii) A GIC that pays interest at 152 = 4.49%. To 3 decimals, determine the annual effective interest rates (as percents) corresponding to options (i) and (ii). Which of the options should they choose? 4. (4 marks] Jason just purchased a brand new car. He made a down payment of $5 000 and has agreed to pay $10000 in one year and $15 000 in two years. If interest on the payments is 112 = 7.5%, what was the original price of the car? Include a time diagram in your solution