Financial Details for Mary Killington

Chequing Account Balance - $975	Savings Account Balance - $6,750
Market Value of Home - $315,000	Market Value of Automobiles - $27,000
Personal Possessions - $10,500	Non-registered GICs - $13,500
TFSA mutual funds - $4,500	Car Loan - $8,500
Credit Card Balance - $10,000	Mortgage - $150,000
Student Loan - $8,500	Gross Salary - $5,200
Income deductions - $1,800	Car Loan Payment - $250
Mortgage Payment - $1,300	Property Tax Payment - $215
Life Insurance - $50	Car Insurance - $75
Utilities - $250	Phone & Internet - $125
Groceries - $400	Clothing - $50
Personal Care - $100	Gifts & Donations - $60
Student Loan Payment - $150 Mary does not understand the difference between simple and compound interest. Using the balance in her savings account, calculate the simple interest and compound interest differences after 5 years if her savings account paid 3% interest. Assume interest compounds annually. (4 marks) 8. Mary is concerned about the increased cost of living. If inflation today is 7%, how long will it take for the cost of living to double? What financial advice can you give her to ensure that she is not as impacted by the increased cost of living? (3 marks)	Parking - $35