5) You just bought a house for $80,000. You will repay the loan with 30 equal annual payments,

the first coming one year from today. The interest rate is 8%. What is the amount of the annual

payment?

6) You want to have $28,000 two years from today to buy a new car. You will deposit an equal

amount from your paycheck each month in an account paying 12% annually, with monthly

compounding. The first deposit will be made at the end of this month. What should be the

amount of the monthly payment?