You would like to have $100.000 in 10 years to be used as a down payment to buy a house. You therefore plan to deposit each month an equal sum of money into your bank account with the bank paying 12% per annum, compounded monthly (a) If these deposit amounts will be made at the beginning of each month, how much must you deposit monthly to accumulate $100,000? (b) Alternatively, you decide to make one large lump sum deposit today instead of monthly deposits, how much should this lump sum deposit be? (assuming the interest rate 12% a compounded monthly) (c) Assume it is now the end of Year 10 (ie, today), you decide to take up a 25-year fully amortized loan with an annual percentage rate of 6 6% and the repayments are made at the end of each month. If the purchase price of the house is $1,000,000 and you use the accumulated $100,000 as a deposit, what would the monthly repayments a be? (a) The formula used to solve for monthy deposit is . PMT FV= ((1+i)" - 1] OB PMT FV: 111-1](1+1) OC PMT PV OD FV PV The monthly deposit amount is $ (Round to the newest cont) (b) The formula applied to solve for the lump sum depositis FV. Put [11-19 - 13. 11 OB FV . PMT [11.11-13 . FV PV OD PMT PV The lump sum deposit made today (Round to the nearest cent) c) The formula applied to solve for monthy repay (b) The formula applied to solve for the lump sum deposit is . PMT [(1 + i)" - 1](1 + i) FV- . PMT FV=7 ((1+i)" - 1] . PV = 4 FV (1 + i) OD PMT PV = 1- The lump sum deposit made today is s (Round to the nearest cent) (c) The formula applied to solve for monthy repayments is FV PV = . PMT PV = (1 + i) PMT PV = 1 OD Fr PMT [11 - 18-1] The monthly repayment is s (Round to the nearest cent) Click to select your answer(s). O