Questions 7&8

You take out a 2-year, $9,000 loan at 9% interest with monthly payments. The lender charges you a $100 fee that can be paid off, interest free, in equal monthly installments over the life of the loan. Thinking of the fee as additional interest, what is the actual annual interest rate you will pay? (Round your answer to two decimal places.) X% Notes Ask Your Teac Your pension plan is an annuity with a guaranteed return of 4% per year ( and you will work for 40 years before retiring. After you retire, you will be paid a quarterly pension based on a 25-year payout. How much will you receive quarterly). You can afford to put $1,200 per quarter into the fund