Please show your work!

Please answer all parts of problems (1) through (III) and two additional problems from (IV) through (VIII). No credit will be given to answers that do not show all appropriate computations! The following equations may be helpful. [1] FV = PV * FVIF i.n) [III] FVA - PMT * FVIFA(n) PV = FV * PVIF in) [IV] PVA = PMT * PVIFAin) You are 20 years old and plan to purchase a house when you are 35. a. The current price of the house you want to purchase is $275,000 and the price is expected to increase by 3% per year. How much will the house cost when you are 35? (6 points) b. When you are 35, the bank will require a cash down-payment of 10% of the house price to obtain a mortgage. How much will you need to save each year between age 20 and 35 to have enough for the down-payment, if you can earn 5% on your deposits? Assume end-of-year deposits. (6 points) c. Given the same data in part b., how much will you need to deposit each year to have enough for the down-payment if you make beginning-of-year deposits? (4 Points) d. Suppose your parents promise to pay the down-payment when you turn 35. How much will they need to deposit today in an account that will earn 8% for the next 15 years (when you will need to the down-payment)? (4 points)