Question 1: You have $40,000 to spend at the beginning of this year and $50,000 at the beginning of next year. By lending the $40,000 out at the beginning of the year at 5% (simple) interest rate, how much can you spend at the beginning of the next year? Suppose you will receive $50,000 next year, but would like to be able to spend the full amount this year ($90,000). What is the maximum amount of money you can burrow this year at an interest rate of 6% and still be able to repay this loan? Draw a chart depicting the relationship in which you can spend this ney. Hint: Place the maximum amount you can spend this year at the extreme point of the X axis and the same as it relates to what you can spend next year on the Y axis