Question 3 A. Bruce Wayne wants to retire forty years from today. He determines that he will need $50,000 per year once he retires, with the first retirement funds withdrawn one year from the day he retires. He also estimates that he will earn 6% per year on his retirement funds and that he will need funds up to and including his 25th birthday after retirement. How much must he deposit in an account today so that he will have enough funds for retirement? (5 marks) How much must he deposit each year in an account, starting one year from today, so that he will have enough funds for retirement? (5 marks) B.Under what conditions does the effective annual rate of interest (EAR) differ from the annual percentage rate (APR)? (3 marks) c. $100,000 deposited in an account today, grows to $500,000 in 28 years. What is the annual interest rate, if interest is compounded quarterly? (4 marks) p. How long would it take for your money to grow to ten times its original value if the interest rate is 2.5% per year, compounded weekly? (3 marks) E. Andrew Holness plans to deposit the following cash flows into the Bank of Jamaica and the start of the year for five years as follows: Year $ 19,000 2 8,000 3 12,000 4 25,000 5 10,000 What is the future value at the end of year seven (7) if he can earn 7% compounded semi-annually? (10 marks) (Total 30 marks)