QC PASSED FINA201 2nd homework designment (1) (Protected view). Word Product Activation Failed REFERENCES MAILINGS REVIEW VIEW PAGE LAYOUT am the Internet can contain Vituses. Unless you need to edit, it's safet to stay in Protected View Enable Editing Student name & ID number: 1. You could buy an asset for $335 This investment is very safe. You would sell off the asset in three years for $400. You know you could deposit the $335 in a bank at 10 percent annual interest rate. What do you think of the investment? (3Marks) 2. Assume that you plan to buy a condo seven years from now. You plan to save $5000 per year, with the first payment made immediately, and you will deposit the funds in a bank account that pays 8 percent. How much will you have after seven years? How much would you have if you made the deposits at the end of each year? (4Marks) 3. Suppose you borrowed $30,000 on a student loan at a rate of 8 percent and now must repay it in three equal installments at the end of each of the next three years. How large would your payments be, how much of the first payment would represent interest, how much would be principal and what would your ending balance be after the first year? (5Marks) 4. Would you rather invest in an account that pays 6% with annual compounding or 6% with monthly compounding? Would you rather borrow at 6% with annual compounding or 6% with monthly compounding? Why? (3Marks)