Solve the following set of problems. Show your work no points will be awarded without showing work. (Note that these are three separate problems and are not related to each other.):

1. You invest $25,000 today and $3000 per year for 32 years. Assuming you earn an 8.5% rate of return, how much will you have at the end of the 32^nd year?
2. You want to borrow $28,000. For the loan to you must repay $1100 every quarter (4 times per year) for the next 5 years plus $8700 at the end of the 5 years. Based on this, what rate of interest are you paying?
3. Finally, assume you currently have $200,000 that you are ready to invest for retirement. In addition, you plan to save
   • $8,500 per year at the end of each year for years 1-9
   • $13,000 at the end of year 10
   • $18,500 per year at the end of each year for years 11-20

Assuming you earn 8.7% as an annual rate of return, how much will you have 20 years from today when you retire?