No Spacing Styles Pane Dictate 1. Jen has a part time job after school. She saves 10% of her net earnings. She has a bank account that pays 2.9% per year, compounded monthly. The table shows her earnings for the past four weeks. (6 marks) Pay Date Oct 1 Oct 8 Oct 15 Oct 22 Net Earnings $191.19 $182.44 $200.58 $191.19 a. Calculate the amount that Jen saves from each paycheque. b. Assume her earnings remain fairly constant. Estimate the amount that Jen can save in one year. 1 c. Use a TVM Solver to estimate the amount in Jen's account after one year. I 2. Calculate the total annual housing costs for each situation. (6 marks) a. bi-weekly mortgage payments of $642.55, monthly condominium fees of $275, and monthly utility expenses averaging $300. b. Monthly mortgage payments of $1006.29, monthly utility expenses averaging $350, and monthly common fees of $345. Pane Landbol 3. Use the monthly budget below to answer this question. (5 marks) INCOME ($) Emmalee 3300 Mohsen 3150 TOTAL EXPENSES(S) Fixed Expenses Variable Expenses(Average) Mortgage Groceries Condominium fees 315 Electricity House insurance 28 Heating Car payment 412 Water Car insurance 227 Telephone RRSP contribution (10%) Internet Cable Gasoline Entertainment Clothing Vacation fund Gift fund Charity fund Total Fixed 3212 Total Variable Total Expenses a. What is Emmalee and Mohsen's total monthly total monthly net income? 1 500 90 160 45 55 35 55 250 200 150 200 100 100 b. How much do they contribute to their RRSP's each month? c. How much do they spend on mortgage each month? d. What percent of their income is committed to fixed expenses? Pane 4. Jackson works part time and earns approximately $450 every two weeks. He would like to buy a $6000 motorcycle as soon as possible. Jackson lives at home and gives his mother $50 per week to help with expenses. Use technology to help you. (5 marks) a. What is the earliest time that Jackson can purchase the motorcycle? b. Determine how much Jackson must save every two weeks in a savings plan so that he can buy his motorcycle in one year. c. If Jackson deposits his savings in an account that pays 4% per year, compounded daily, will he be able to buy the motorcycle sooner? Explain. Use TVM Solver and include display in your solution. 5. Paul wonders what it would be like to own a house of his own within five years. He now rents a two-bedroom apartment with a friend. He pays half the $740 monthly rent. A two-bedroom bungalow on his street is for sale with an asking price of $107 900 and has annual property taxes of approximately $2800. (10 marks) a. As a first time homebuyer, Paul would need a 5% downpayment Calculate this amount b. How much would Paul need to save each month to have the down payment saved is 5 years? Is this amount and the time period reasonable? Explain. c. Use a TVM Solver to determine the monthly mortgage payment for this house, less the down payment. Assume the interest rate is 6% per year Focus payment saved is 5 years? Is this amount and the time period reasonable? Explain. c. Use a TVM Solver to determine the monthly mortgage payment for this house, less the down payment. Assume the interest rate is 6% per year find the mortgage is amortized over 25 years. d. Calculate the monthly payment to the bank for the mortgage plus the monthly portion of the property taxes. e. Bills from the current owners show that electricity averages $180 every two months, natural gas averages $115 per month, and water averages $260 every four months. Calculate the average monthly utility expenses for the house. f. If Paul did not spend more than 30% of his net income on housing expenses, what would his minimum monthly net income need to be to afford this house