7)You anticipate you will need $1639 for the down payment on a new BMW 8 years from now.You expect you can earn 5.4 percent, monthly compounded, if you invest money today.How much will you have to invest today to reach your goal?Round your answer to the nearest cent.

8)The interest rate on a savings account is 6.2 percent, compounded daily.Assume there are 365 days in a year.What is the effective annual rate (EAR or EFF%) on this account?Round to four decimal places.