Mary wishes to annuitize the cash value of her insurance policy at retirement. The cash value is $800,000. What payment (to the nearest dollar) can she expect if she wishes to receive 20 years of payments (starting next year) and interest rates are 3.00%? a. 944 shares, 944 shares b. 1000 share, 1000 share. c. 1000 shares, 944 shares, d. 944 shares, 1000 shares

2. Assume that the Canadian annual inflation rate is 4%, the US annual inflation is 7%, and the current spot exchange rate is C$1.23/$1. Under these market conditions what spot exchange rate will be necessary to maintain one price for goods between the two countries one year from now?

A. C$1.3214/$ b. C$1.1931/$ d. C$1.2314/$ D. C$1.2931/$

The Dodd-Frank bill requires many standardized derivative products ______ to reduce the risk of losses. a. to be traded on exchange and cleared through clearing houses

b. to be sold monthly.

c. to be banned

d. to be held off-balance-sheet