SQQUESTION 1 Giovanni is currently employed as a mechanical engineer and is paid 80,000 per year plus premium that are equal to 20% of his salary. Giovanni wants to begin a consulting firm and decides to leave his current job. After his first year in business, his accountant informed him that he had made 90,000 with his consulting business. What is his opportunity cost? QUESTION 2 You deposit 1,500 in a compound interest account at 18 percent annual interest rate. a) How much will you have in your account at the end of the 3rd year if it compounds annually? b) How much will you have at the end of month 24 if it compounds monthly? QUESTION 3 You deposit the following, at the beginning of each year, into a growth mutual fund that earns 10 percent per year: Year 1 - 5 000; Year 2 - 7 500; Year 3 - 5 500; Year 4 - 7 700; Year 5-3 000; Year 6-6 000; How much would you have at the end of year 6 ? How about at the end of year 10