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9. You plan to deposit enough money into an account that pays 12% p.a. to be able to make four annual withdrawals of $2,500 each
9. You plan to deposit enough money into an account that pays 12% p.a. to be able to make four annual withdrawals of $2,500 each starting one year from today. If you do this, how much will be left in the account after your first withdrawal? 10. Suppose you get a loan today of $100,000 and must repay $148,150 three years from today. What annual interest rate is the bank charging you? [14%] 11 Suppose you deposit $1,000 in the bank today, and then make 9 equal annual deposits of $2,000 each starting 2 years from today. If the interest rate is 7% per annum, how much money will you have in the account 15 years from today? [$36,358.53] 12 James C. just bought a condo for $200,000 and has taken a 30-year mortgage for 80% of the price. If the mortgage payment is $1,448.32 per month, what is the quoted rate (APR) and the effective annual rate (EAR) on the loan? [APR=10.37%; EAR-10.88%]
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