7. Your firm, New Sunrise, has just leased a $32,089 BMW for you. The lease requires eight beginning of the year payments that will fully amortize the cost of the car. How much are the payments if the interest rate is 12 percent? (If there is no clear information, make P/YR-1). This is an annuity due problem, so make sure you shift, "BEG/END", make "BEGIN" show a. 3,589.632 b. 4,752.369 c. 5,767.5061 d. 6,785.321 For amortization problems, INPUT = AMORT - numbers of periods +1 8. How much interest will you pay in the 12th year of a $85,000, 5.5%, 25 year mortgage, assuming annual compounding? P/YR=1 Get PMT first P/YR = 1 PV=-85,000, I/YR=5.5, N=125=25, PMT=? Then, 12 INPUT, 12 AMORT a. 3,059.287 b. 3,342.167 c. 3,5841.369 d. 3,8742.382 9. How much interest will you pay in the 12th year of a $85,000, 5.5%, 25 year mortgage, assuming monthly compounding? P/YR = 12 Get PMT first. P/YR = 12 PV--85,000, I/YR-5.5, N=25*12=300, PMT= ? 133 INPUT (144-12*1+1=133: 12*11=132 marks the end of 11th year, 133 marks the first payment of 12th year). 144 AMORT (12*12) a. 3,062.219 b. 3,198.201 c. 3,014.225 d. 3,284.047