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# Given a 5 percent interest rate, compute the year 6 future value of deposits

Question
1.Given a 5 percent interest rate, compute the year 6 future value of deposits made in years 1, 2, 3, and 4 of \$1,950, \$2,150, \$2,150, and \$2,450. (Do not round intermediate calculations and round your final answer to 2 decimal places.)

2. A loan is offered with monthly payments and a 9.25 percent APR. What’s the loan’s effective annual rate (EAR)? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

3.What’s the present value of a \$650 annuity payment over four years if interest rates are 8 percent? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

4. Compute the present value of a \$5,800 deposit in year 1 and another \$5,300 deposit at the end of year 4 using an 8 percent interest rate. (Do not round intermediate calculations and round your final answer to 2 decimal places.)

5. What is the future value of a \$680 annuity payment over four years if interest rates are 8 percent? (Do not round intermediate calculations and round your final answer to 2 decimal places.)

6. Compute the future value in year 9 of a \$4,200 deposit in year 1 and another \$3,700 deposit at the end of year 5 using an 9 percent interest rate. (Do not round intermediate calculations and round your final answer to 2 decimal places.)

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