Com Question 4 Angela and Bill are saving for a down payment on a house. They have $25,000 to invest. Bill wants to invest the funds Investment expected to earn 5% apounded Annually over the next 5 years. Anglea wants to In vest na riskier which is expected to earn 8% compounded annually over the next 5 years. n in the as How much more would they have to invest today less risky investment to achieve the same value they would earn by holding the riskier investment 5 year' time. Question 6 Yan is saving to go on a trip to Australia five years. from today. She has determined that she will need to have $13,000 saved to take the trip. a) How much will she need to invest today in order to have $13,000 in five years ? Assume she can earn the following Interest rates over the next fives years: First year: 3%, second year 3.5% Third year 4% Fourth year :5% Fifth year: 5% Question : b. Instead of investing the money today, she has decide to wait two years to invest the money. How much will she need to invest two years from today, in order to have $13,000 five years from today? Second year first year: 3% Fourth year: 5% year: 3.5% Third year: 4% fifth year: 5% wmpany Question 7 A life insurance is selling an investment policy that will pay you and your heirs $17500 por year forever, with the first payment starting today on this kind of investment of 6% and they sell this policy for $295.000 a: Is this a good investment for you? show your work bi At what rate would you breakeven on this investment if the first payment is at the end of this It you require 0 return year