Part 2: Problem Solving SHOW ALL COMPUTATIONS WHERE NECESSARY. PARTIAL CREDIT WILL ONLY BE GIVEN CREDIT FOR CORRECT ANSWERS ONLY. PROBLEMS SHOULD BE DONE ON WORKS IF WORK IS SHOwN. TH HEET, NOT IN TEST BOOKLET ERE IS NO Problem 1 10 points Solve the following problem using the formula Please round intermediate calculations to 4 decimal places as done in class. (a) 7 points A Port Glasgow student is celebrating today after winning a fantastic $2,543,000 Lotto jackpot in last Wednesday's draw- only a week after she dreamt she would win the lottery. Mother-of-one, Kerri Cartwright (28), is studying for an HNC in Administration and IT at James Watts College and works part time at Port Glasgow Golf Club. It was because of daughter, Stephani (3), that Kerri bought a ticket in the first place. Kerri has decided to collect all her winnings right away instead of 20 annual installments. Using a rate of 9.5%, how much will she collect? (b) 3 points Kerri wishes to send her daughter to college when she turns 18. She estimates that the first year of college then will cost $250,000. If she could get 8.25% on her investment, how much of her winnings must she deposit today if she will receive interest monthly? Write the appropriate formula and show your work on the worksheet provided. Problem 2 10 points Solve the following problem using the formula. Please round intermediate calculations to 4 decimal places as done in class. Holmes reportedly paid $9,000,000 to get her boyfriend Lamar ("Hot Sauce") McDow out of jail 1. You may think he is a lucky fellow, but you could accumulate that amount over a period of 20 years by putting aside equal amounts at the beginning of every month. Luckily for you, the historic return on the DJIA over any 20 year period is about 10%. How much would you need to put in your investment account periodically