Around your ans in 2 demical place

1. You have $18,386.78 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $260,000. You expect to earn 11% annually on the account. How many years will it take to reach your goal? Round your answer to two decimal places at the end of the calculations.

( ) years

2. 5-16: Comparing Interest Rates 5-18: Amortized Loans

Loan amortization and EAR

You want to buy a car, and a local bank will lend you $30,000. The loan will be fully amortized over 5 years (60 months), and the nominal interest rate will be 7% with interest paid monthly.

1. What will be the monthly loan payment? Round your answer to the nearest cent. $( )

2. What will be the loan's EAR? Round your answer to two decimal places. ( )

3.5-5: Finding the Number of Years, N

Time for a lump sum to double

How long will it take $400 to double if it earns the following rates? Compounding occurs once a year. Round each answer to two decimal places.

1. 7%. ( )years

2. 14% ( )years

3. 21% ( )years

4. 100% ( )years

4.5-4: Finding the Interest Rate, I

Growth rates

Shalit Corporation's 2011 sales were $7 million. Its 2006 sales were $3.5 million.

1. At what rate have sales been growing? Round your answer to two decimal places.

   %

2. Suppose someone made this statement: "Sales doubled in 5 years. This represents a growth of 100% in 5 years, so, dividing 100% by 5, we find the growth rate to be 20% per year." Is that statement correct? WHY?