QUESTION 1

1. At what rate of interest must your savings of $559 be compounded monthly for it to grow to $663 in 5 years?

   Please round your answer to the fourth decimal (e.g. 0.0000)

QUESTION 2

1. You plan to buy a nice fur coat for your mother as her 60th birthday gift next year. The fur coat will cost you $229. To purchase the fur coat next year, you need to set aside an amount in a saving account. Your bank will pay you 7.49% compounded monthly. How much do you need to deposit today so that you can accumulate sufficient cash to make the purchase in 1 year?

   Please round your answer to the second decimal without dollar sign. (e.g. if the answer is $100, then you should input 100.00)