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stion 13 el wed Tout of Please answer the following questions. Note that these questions are not related. Please keep 2 decimal places in all
stion 13 el wed Tout of Please answer the following questions. Note that these questions are not related. Please keep 2 decimal places in all your calculations in this question. Please use the percentage form for any interest rates (e.g. 0.12%). uestion a) Which account would be preferred by a lender, an 12 percent APR with weekly compounding or 12.1 percent APR with quarterly compounding? b) A perpetuity of $5,000 per year beginning at the end of the first year is said to offer a 15 percent interest rate. What is its present value? c) A cash-strapped young professional offers to buy your car with four, equal annual payments of $3,000, beginning two years from today. Assuming you are indifferent to cash versus credit , that you can invest at 10 percent, and that you want to receive $9,000 for the car, should you accept and why or why not
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