Question: 3 (3+3+4) a) Mr. Sifat has 100,000 Tk. and UCBL offers 8.5% interest, compounded semiannually on term borrowing. The IBBL Offers 8.25% interest, compounded quarterly, how much will accumulate his account end of year 5. Based on effective interest rate, in which bank would you prefer to borrow fund and justify your findings. b) Differentiate between APR (annual percentage rate) and effective annual rate (EAR) with examples Differentiate between annuity and perpetuity cash flows with example. c) Ishraf got his driving license one week back, and he wants to buy a new car for 12,50000Tk. He has lump sum amount of 375000tk. today to invest. Ishraf is a risk averse investor and he has following investment options after approaching different banks I. II. III. BRAC Bank offers 12.25% term deposit compounded semi-annually. MTB Bank offer 12% term deposit compounded quarterly. Padma Bank offers 10.85% term deposit compounded monthly. Calculate how long will it take for Ishraf to accumulate enough money to buy a car in each of the three cases