Show your work!

1. Sally wants to purchase a new car for her friend. The car will cost $45,000 in 5 years. If Sallys investments earn 7% each year, how much will she need to deposit annually at the end of the year in order to have enough to purchase the car?

2. Joe plans to fund his retirement account with an annual contribution of $5,000 at the end of each year for the next 20 years. If he can earn 12% annually on his contributions, how much will he have at the end of the 20^th year?

3. Rita borrows $4,500 from the bank at 9 percent annually compounded interest to be repaid in three equal annual installments. The actual end-of-year payment is