8. You would like to save every month $500 for two years. The bank offers you 4% APY with monthly compounding. What is the expected balance after two years? 9. A car salesman offers you two options to finance a car. Option 1, pay $400 a month for 3 years. Option 2, pay $5,000 a year (paid at the end of the year) for 3 years. If the interest rate (on saving and borrowing) is 6% APR with monthly compounding, which option is preferred? 10. The bank offers you a saving account that pays 4% APY with quarterly compounding. If you deposit $100,000, calculate a. the balance after 2 quarters b. the balance after 1 year c. the balance after 3 years d. What is the APR