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I need help solving these FIVE questions and please show me how you got your answers. 1. Assume you invested 64,297 today at 10% interest
I need help solving these FIVE questions and please show me how you got your answers.
1. Assume you invested 64,297 today at 10% interest compounded annually for 5 years. How much would you have in 5 years (and tell me how you calculated your answer).
2. Imagine you are going to borrow 95,156 from a bank to purchase real estate. You are going to finance the purchase over 30 years at 6% interest with no down payment. What is the monthly payment? How did you calculate this?
3. If you are 21 years of age, How much do you need to save monthly if you have nothing today and you want $100,000 by the age of 35?
4. If you invest $100,000 today at 5% compounded monthly for 5 years, how much will you have in five years?
5. You are going to lease a piece of machinery. The price of the machine is $100,000. The lease term is 5 years with monthly payments and the implied annual interest rate is 5%. At the end of 5 years, the balance is owed on the lease (the purchase option) is $10,000. What will the payments be?
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