_{Q1)A company want to purchase a land, there is no money available to purchase cash, there are two options available for the company :}

_{A) Issue 2000,000 of 8% bonds for five years, Interest payable quarterly at the end of the period 1 April, 1 July and 1October and 1 January, interest rate at market is 12%.}

_{B) leas with a payment 160,000 at beginning of each six months for 10 years (8%).}

_{Which when the company will choose and why?}

_{Q2) A company want to save an amount to pay the yearly retirement of its employees within the following 10 years, the company plan to begin paying after four years $50,000 yearly .}

^{How much the company should deposit today at 6%}