Question 9

4 Points

You are offered an investment where you will receive $4,000 per year

for 4 years where the discount rate is 10%.

The cost for the aggregate $16,000 is $13,000.

What is the present value of the annuity (PVA)?

$13,104.55

$12,409.78

$12,679.46

$12,149.40

Question 10

4 Points

You want to buy a new car. The cost is $11,081.00.

You can get a loan for 4 years with an annual rate of 4.0% where interest is

compounded monthly.

Remember to make adjustments to the rate, term, and payment.

What is the monthly car loan payment?

$255.19

$261.25

$250.20

$245.27