5, 6 , 7 & 8..

(5) Again, the purchase price is $1,648,500. The loan term will now be for twenty(20) years and the borrowing rate will be 6.50%, what is the needed monthly payment for this loan? (a) $12,290 (b) $11,130 (c) $14,360 (d) $15,000 Concerned by recent articles on the economic necessities for one's retirement years, a couple has decided to target a retirement fund of: $1,000,000. They feel confident that by timing the broad stock market indices they can realize a long term rate of return of 9.50% on their investments. (6) How much time will be needed to achieve this target sum if a monthly contribution of: $82030 can be made? (a) 15 years (b) 20 years (c) 25 years (d) 30 years (7) If the monthly contribution can only equal $800 by how much will the couple fall short of their financial goal? (a) $24,750 (b) $20,000 (c) $27,500 (d) $18,575 (e) $21,250 (8) If the monthly contribution can be: $1,155 and the couple wishes to retire within twenty (20) years, then what rate of return must they realize on their investments? (a) 10.5% (b) 10.0% (c) 12.0% (d) 11.5% (e) 11.0%