Q4

Janice has decided to lease a new computer system. The computer sells for $2,125. She plans to pay off the lease over two years with monthly payments.

Calculate the size of the lease payments if the lease charges 8.4% compounded monthly.

Q5

Annie would like a retirement income of $4,000 per month (beginning of month payments) for 15 years once she retires.

How much must she have in her retirement account on the day she retires if the account can earn 4% compounded semi-annually?