3E.

Assume that the inflation rate during the last year was 1.73 percent. US government T-bills had the nominal rates of return of 5.68 percent. What is the real rate of return for a T-bill?

Round the answer to two decimal places in percentage form.

3b.

You plan to buy a house in 12 years. You want to save money for a down payment on the new house. You are able to place $394 every month at the end of the month into a savings account at an annual rate of 12.44 percent, compounded monthly. How much money will be in the account after you made the last payment?

Round the answer to two decimal places.

3C

A commercial bank will loan you $53,989 for 4 years to buy a car. The loan must be repaid in equal monthly payments at the end of the month. The annual interest rate on the loan is 14.18 percent of the unpaid balance. What is the amount of the monthly payments?

Round the answer to two decimal places.