Q 1.You have decided to place $627 in equal deposits every month at the beginning of the month into a savings account earning 10.98 percent per year, compounded monthly for the next 7 years. The first deposit is made today. How much money will be in the account at the end of that time period? Round the answer to two decimal places. 2.What is the present value of the following annuity? $3,836 every half year at the beginning of the period for the next 8 years, discounted back to the present at 10.83 percent per year, compounded semiannually. Round the answer to two decimal places. 3.You plan to buy a house in 5 years. You want to save money for a down payment on the new house. You are able to place $424 every month at the end of the month into a savings account at an annual rate of 7.60 percent, compounded monthly. How much money will be in the account after you made the last payment? Round the answer to two decimal places. 4.You are going to save money for your son’s education. You have decided to place $1,976 every half year at the end of the period into a saving account earning 12.86 percent per year, compounded semi-annually for the next 13 years. How much money will be in the account at the end of that time period? Round the answer to two decimal places. 5.A car dealership offers you no money down on a new car. You may pay for the car for 5 years by equal monthly end-of-the-month payments of $552 each, with the first payment to be made one month from today. If the discount annual rate is 18.59 percent compounded monthly, what is the present value of the car payments? Round the answer to two decimal places.

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