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1.You deposit $2500 at a yearly interest rate r = 6.8%. How much will you have in 3 years if:

a.The bank had simple interest

b.The bank had compound interest compounded monthly

c.The bank had compound interest compounded biyearly

2.Assuming monthly compounding, $500 to grow to $1,250?

a.If the yearly compound rate is r = 7.2%, how long did it take?

b.If it took 2 years for this to happen, what was the yearly compound rate?

3.Suppose you start an annuity by depositing $350 every 3 months, in a bank with yearly interest rate r = 8% compounded quarterly.

a.How much will your annuity be worth in 15 years

b.How much money did you deposit in the bank during these 15 years

c.What's the present value of your annuity

(30 points)

4.If you take out a loan of $30000 at a bank with yearly interest rate of r = 6% compounded monthly, how much would you have to pay each month to pay off this loan in 10 years.

How much of the money you paid is in interest.