Anne is planning an investment stategy with two phases to accumulate $100,000 in 7 years. The following is her investment plan:

Phase 1: Putting an exactly equal amount of money into a trust fund that provides with the rate of return of 8.5%, annually compounding at the end of each year for 4 years, to get totally $70,000.

Phase 2: Putting her saving from Phase 1 of $70,000 as a lump sum in another asset that will pay her a compounding monthly rate of return, for the following 3 years, to get totally $100,000.

Required:

a) Phase 1: Calculate the amount of money should Anne put into her trust fund at the end of each year? (4 marks)

b) Phase 2: Compute the annually compounding rate of return Anne should target for her asset in the last 3 years to get $100, 000 at the end of year seven? (4 marks)

c) Phase 2: If the interest rate for the asset in the last 3 years is only 10% per year, compounding annualy, how much can Anne accumulate at the end of year seven? (2 marks)

d) If a firm decides to be listed on the stock market, what type of secondary market the shares of the firm will be traded on? (1 mark)