William wishes to save enough money to purchase a retirement lake cabin. He is willing to spend $200,000 for the cabin and he can save $20,000 per year and invest the money into an account earning 7.00% per year. If his investments come in the form of equal annual end-of-the-year cash flows and the first cash flow is in exactly one year, how long will it take him to save enough money to buy the lake cabin?

Question 13 options:

Your firm intends to finance the purchase of a new construction crane. The cost is $2,500,000. What is the size of the annual ordinary annuity payment if the loan is amortized over a ten-year period at a rate of 7.50%?

Please explain on a BAII Plus Financial Calculator only

Question 12 options:

	$228,611.56
	$3,391,475.16
	$364,214.82
	There is not enough information to answer this question.