Suppose you have $2,000 and plan to purchase a 25-year certificate of deposit (CD) that pays 4.5% interest, compounded annually. How much will you have when the CD matures?

$5,871

$6,423

$6,011

$7,219

A relative's estate was recently settled and you inherited $350,000. You are able to invest it at 5.75% per year. How much could you withdraw at the end of each of the next 30 years?

$22,834

$23,522

$24,751

$21,599

What's the rate of return you would earn if you paid $975 for a perpetuity that pays $55 per year?

6.94%

5.83%

6.67%

5.64%