2 J: 216 #. 1/1 QUESTION 1-COMPULSORY QUESTION, Must Be Answered (30 Marks) A) Your client is interested in buying a property in rural Victoria. What is the present value of an offer of $14,000 one year from now if the opportunity cost of capital (discount rate) is 11% per year simple interest? (5 Marks) PV=FV/1+rt=14000/1+(0.11*1) 12, 612.21 B) Your client is borrowing $125,000 for 30 years at 9% nominal annual interest compounded monthly. How much must their monthly payments be if they will completely retire the loan over the 30-year period (i.e., what is the level payment annuity with a present value of $125,000)? (5 Marks) PMT=PV* C) What is the present value of $130,000 received in twenty years, if the interest rate is 5.7% per year, compounded daily? (5 Marks) | D) The outstanding balance on my mortgage is $245,000. My repayments are $2,375 per month. If the bank charges 8.3% p.a. nominal compounded monthly, how many years will it take for me to pay off the mortgage? (5 Marks) E) At a nominal