Question
Q1: Jill wants to buy a car but needs to calculate how much she can afford to borrow. The maximum she can repay each month-end
Q1: Jill wants to buy a car but needs to calculate how much she can afford to borrow. The maximum she can repay each month-end is $560 per month and the bank has indicated it will charge a fixed 8.0% p.a compounding monthly. If she takes a loan for 5 years how much can she afford to borrow? (Do not use the $ sign or commas; include cents e.g 24500.09)
Q2: Payments of $200 per month are deposited into a fund at the end of each month for 11 years. If interest is 11.7% p.a. compounding monthly, the size of the fund at the end of 11 years will be (to nearest dollar but dont include $ sign or commas):
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