alternative thal Des MULTIPLE CHOICE. Choose the one 1) The salesperson offers, "Buy this new car for $25,000 cash or, with an appropriate down 1) payment, pay $500 per month for 48 months at 8% interest." Assuming that the salesperson does not offer a free lunch, calculate the "appropriate" down payment. $5,127.24 D) $1,000.00 A) $4,519.04 B) $8,000.00 2) A car dealer offers payments of $$22.59 per month for 48 months on a $25,000 car after 2) making a $4,000 down payment. What is the loan's APR? B) 6% A) 11% 99% D)12% 3) What is the present value ofthe following payment stream, discounted at 8% annually: $1,000 at the end of year 1, $2,000 at the end of year 2, and $3,000 at the end of year 3? A) $5,022.10 B) $5,423.87 O) $5,144.03 D) $5,520.00 4) Which of the following project that you want to Invest on? 4) A) Project with APR-4% that offers monthly payment. B) Project with EAR-4% that offers annually payment. C) Project with EAR-4% that offers monthly payment D) Project with APR-4% that offers annually payment 5) What is the future value of $10,000 on deposit for 2 years at 6% simple interest? 5 A) S11,236 B) $10,600 O $13,382.26 D) $11,200 6) The principal participants in the financial markets are 6) A) businesses, banks, government. B) mutual funds, hedge funds, investment bankers. ) dealers, brokers, regulators. D) borrowers, savers, financial institutions. 7 Al of the following are classified as non-bank financial intermediaries except 7) A) hedge funds. ) investment banks. B) insurance companies D) stock brokerages