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ANNUITY PAYMENT (INTERMEDIATE) The Slow Pay Company owes your firm $ 16, 200. This amount is delinquent so you have offered to arrange a payment

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ANNUITY PAYMENT (INTERMEDIATE) The Slow Pay Company owes your firm $ 16, 200. This amount is delinquent so you have offered to arrange a payment plan in the hopes that you might at least collect a portion, if not all, of this money. Your offer will consist of weekly payments for one year at an interest rate of 5 percent. What is the amount of each payment? $319.54 $323.48 $340.00 $345.67 $347.15 Steven can afford car payments of $250 a month for 60 months. The bank will lend him this money at 6.2 percent interest. How much can Steven borrow? $12, 568.63 $12, 869.39 $13, 672.38 $14, 104.9 $14, 770.27 Your parents would like to establish a trust fund that would pay annual payments to you of $50,000 a year forever. The fund will earn a guaranteed return of 8 percent. How much do your parents need to deposit into this trust fund today to achieve their goal? $400,000 $540,000 $565,000 $62 5.000 $800,000 A 6 PERCENT $1,000 BOND MATURES IN 4 YEARS, PAYS INTEREST SEMIANNUALLY, AND HAS A YIELD TO MATURITY OF 6.85 PERCENT. WHAT IS THE CURRENT MARKET PRICE OF THE BOND? $768.76 $801.38 $869.15 $910.27 $970.69 A corporate bond pays 9.75 percent interest. You are in the 29 percent tax bracket. What is your after-tax yield on this bond.? 2.83 percent

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