A loan of 40,000 is being repaid by a 30-year increasing annuity-immediate. The initial payment is k, and each subsequent payment is k larger than the preceding payment. Determine the principal outstanding immediately after the ninth payment, using an annual effective interest rate of 4%. Multiple Choice: (a) 48,000 (b) 48,250 (c) 48,500 (d) 47,500 (e) 47,750 Frances borrows $10,000 and agrees to make 20 equal annual payments toward principal, where the first payment is due in one year. In addition to the principal repayments, each year she will pay interest at 12% effective on the outstanding principal. The lender wishes to sell the loan to an investor immediately after the loan is made. Determine the sale price such that the investor will achieve a yield of 15% on this investment. Multiple Choice: (a) Less than $8,400 (b) At least $8,700 (c) At least $8,600 but less than $8,700 (d) At least $8,400 but less than $8,500 (e) At least $8,500 but less than $8,600