QUESTION 1:

Assume you deposit $800 per year beginning one year from today (t = 1) until 15 years from today (t = 15) into an account earning 3% p.a. You will have $_____ in your account right after you make the last deposit.

QUESTION 2:

You deposited $30,000 in the bank ten years ago. Today you have $48,867. You earned an annual rate of return of _____%.

QUESTION 3:

Assume you deposit $400 into an account today and another $600 into the same account three years from now, how much will you have in your account exactly ten years from today? The account pays interest of 7% p.a.

QUESTION 4:

Amy is indifferent between receiving $3,000 today and $5,129.46 ten years from today with quarterly compounding. The investor is using an annual stated discount rate (APR) of _____________%.