mainly and understanding of c) but all questions to check my own. Thank you!

Question 2 (Financial Maths) (7 marks) (a) Paul has an account which earns interest at 1\% per month. What is the EAR (Efrective Annual interest Rate)? (1 mark) (b) Paul has struck an agreement to buy his Dad's car. The sale wil take place when Paul can pay the depreciated value of the car. The car is valued at $28,000 today, but loses 3\% in value each month due to depreciation. Paul has $20,000 in his account which earns inserest 1% per month. Calculate how long (in months) Paul must wai before he can buy the car. (3 marks) Note: You will nok got full marks if you use Excel. (c) Paul has a sister Sarah who also wants to buy her Dad's car somesme later. Sarah has a saving plan depositing $2,500 each month (at the end of the month) into her account which also eams interest 17 per month. Sarah claims that she will have enough money in her account in exactly 8 months' time to pay the depreciated value of the car. By calculating the net future value of Sarah's account after 8 months and the depreciated value of the car, check it Sarah's claim is correct or not. (3 mariss)