Sadia Corporation, based in UAE, produces meat and milk products. The company sold old machinery for 50,000 UAE dirham and decided to put this amount in a term deposit, which usually pays 5 percent annually.

a. Calculate the amount of money that Sadia Corporation will receive after 2, 4, and 7 years of deposit.

b. Re-calculate results from part (a) if bank offers 5 percent annual compound interest on semi-annual basis.

c. Re-calculate results from part (a) if bank offers 5 percent annual simple interest rate basis.