2. . quarterly? Five times a year? - wurdy Your bank is offering to pay an annual 2% as interest. You have just realized that this interest actually pays four times a year. What is the annual rate?(5 points) What is the effective rate?(5 points) 3. Suppose you want to have $0.5 million saved by the time you reach age 30 and suppose that you are 20 years old today. If you can earn 5% on your funds, how much would you have to invest today to reach yourgoal?(15 points) 4. Consider an annuity consisting of three cash flows of $2,000 each. Assume a 4% interest rate. What is the present value of the annuity if the first cash flow occurs: One year from today? (5 points) Three years from today? (5 points)