6. Michael wants to have $20,000 in an investment account seven years from now. The account will pay 0.4 percent interest per month. If Michael saves money every month, starting one month from now, how much will he have to save each month?

7. Intel recently purchased a new office building costing $200 million. The firm financed

this purchase at 8.25 percent interest with monthly payments of $1,839,789. How many years will it take the firm to pay off this debt?

8. What is the effective annual rate of 5.25 percent compounded monthly?

9.Global Enterprises has just signed a $3 million contract. The contract calls for a payment of $.5 million today, $.9 million one year from today, and $1.6 million two years from today. What is this contract really worth if Global Enterprises can earn 12 percent on its money? I know the answer is 2.58 Million but can you please show the work on how to get to this answer, I just need in broken down a bit. Thanks!

10. I have $72,000 in my bank account today. The bank manager told me that I will have $100,000 money in five years if I keep the money in this account and dont touch it (meaning that I wont withdraw from it or dont add more into it). The account pays me daily interest. What is the APR for my account?