1)Speaking strictly from a present value standpoint, if you require an 8 percent annual return on your investments, would you prefer $20,000 ten years from today or an ordinary annuity of $1,000 per year for 20 years?

2) If your savings account earns 8% per annum, how much do you have in your account at the end of 20 years if you deposit $100 per year into the account?

3)What nominal annual interest rate is implied if you borrow $5,000 and repay $7,024.64 in three years?

4) You have $15,000 to invest. Assuming annual compounding, how long will it take for the $15,000 to double if you can expect to receive an annual return of 7 percent?

5) What is your annual return (interest rate) if you lend someone $5,000 today and are repaid $8,746 in 5 years?

6) You decide to make monthly deposits into Junior's college fund account (the account pays interest at 4%), instead of annual deposits. How much must you deposit at the end of each month so that you will have $200,000 in the account by the time he turns 18? (Round to the nearest dollar.)

7)Congratulations, you just had a baby boy. How much will you have to deposit each year into his college fund account that pays an interest rate of 4% per annum, compounded annually, if at the end of 18 years, you want to have $200,000 in the account? (Round your answer to the nearest $100)

What is your annual return (interest rate) if you lend someone $5,000 today and are repaid $7,017 in five years (rounded to the nearest tenth of a percent)?