Problem #3: Mort is to pay off a loan of $85,000 with equal payments at the end of every month over 10 years (i.e., 120 months). The ANNUAL effective rate is 8.5%. Mort decides that he can actually manage to pay double the monthly payment each month. How many MONTHS will it take him to pay off the loan? (Include the final month where the last payment will be smaller than all the rest.) Problem #3: 47 Answer in integer number of months. Just Save Submit Problem #3 for Grading Attempt #2 Attempt #3 Attempt #4 Attempt #5 Problem #3 Your Answer: Your Mark: Attempt #1 48 0/2x 47 0/2x Problem #4: A perpetuity pays $4500 at the end of every month for 11 months of each year. At the end of the 12th month of each year, it pays double that amount. If the effective ANNUAL rate is 8.7%, what is the present value of this perpetual annuity? Problem #4: Answer correct to 2 decimals Just Save Submit Problem #4 for Grading Attempt #1 Attempt #2 Attempt #3 Attempt #4 Attempt #5 Problem #4 Your Answer: Your Mark