3.If you set yourself a goal of investing X amount today, earning interest at 5%, in order to withdraw $10,000 at the end of each year for the next three years, how much is X?

$30,000

Between $25,000 and $26,000

$31,525

None of the other alternatives are correct

$27,232

4.If you set yourself a goal of investing X amount today, earning interest at 10%, in order to withdraw $32,321 at the end of each year for the next four years, how much is X?

$22,075

None of the other alternatives are correct

$129,284

$10,196

$102,454

6.Your grand-mother puts $1,000 per year in a TD Bank account for you. She started doing this ten years ago to save for a big graduation trip after completion of high school and before starting university. Money is worth 10%. How much is sitting in the TD bank account as of now? Please round to the nearest whole number.

$10,000

$25,937

$38,550

$15,937

$6,147

Selden Co. purchases a factory and pays $5,000,000 cash and uses the factory to produce microchips and then a year later turns around and sells the building for the same amount it originally paid. (money is worth 8% compounded quarterly). Selden will record:

Neither a gain nor a loss on the sale

Not record this as a sale until payment in full is received

A gain on the sale

There is insufficient information to answer the question

A loss on the sale

9.Bob borrows $50,000 from the Mighty Bank today and the Bank requests her to repay her loan in four equal payments along with 12% interest. Each of the four payments must be paid at the end of the next three years. What is the amount of each payment? Please round to the nearest whole number.

$14,817 plus 12% interest

$20,818 plus 12% interest

$20,818

$14,817

None of the other alternatives are correct

10.Your friend has just turned 50 years old, and has asked you for your advice. He is starting to think about retirement and would like to withdraw from the bank $15,000 per year for 15 years after he turns 65 years of age. How much does your friend have to deposit for the next 15 years to ensure that there is enough money to last for 15 years after he retires? The bank has a special retirement fund that will pay 6% per year for the first 15 years and 8% per year after your friend turns 65 years of age for retirement income. (Rounded to the nearest dollar)

None of the other alternatives are correct

$4,911

$5,365

$6,259

$5,516