Appendix 13A -In-Class Case 1. You invest $1,000 in an investment account earning 10% annual interest. What is the investment worth after 3 years? 2. You want to go to graduate school in four years and will need $16,000 to do so. If you can earn 10% annually, how much must you invest today to accumulate the required amount? 3. You want to invest $10,000 per year for the next 3 years. The investment account is expected to earn 10% annually, what will the investment be worth in 3 years? 4. You want to buy a new car for $20,000. You make a down payment of $6,000 and finance the remainder for 36 months at 12% annual interest, what is the amount of your monthly payment? You want to buy a car. You can afford monthly payments of $250 for 3 years. The bank charges 9% annual interest, what is the maximum price you can pay for the car? 5