Question 3. (Chapter 6) Debr to Equity Ratio-Personal Equity Calculating the Debl-to-Equily Ratio. Thomas owns a $160,000 townhouse and still has an uapaid mortgage of $120,000. In addition to his mortgage, he has the following liabilities: Thomas's net worth (not ineluding his home) is $30.000. This equity is in mutual funds, an automobile, a coin collection, furniture, and other personal property. What is Robert's debt-to-equity ratio? Has he reached the upper limit of debt obligntions? Explain. Net warth = Assets - Liabilities Question 4. (Chapter 5, Computing APY). What would be the annual percentage yteld for a savings acoount that earmed $105 in interest on $906 over the duration of the past 365 days? The formula for Annual Percentige Yield is especially used for short term saving investments like money market funds, or certificates of deposit, i.c. less than one year. The Truth in Saving Act was passed in 1991 by Congress, and banke/funds/investment firms must calculate short term investments and annualize the rate, to make the rates comparable. Fornula: APY or Aunual Percentage Yield = 100[(1+ (interest/principal) (365 days/days in the term) -1]=