MENG 0429-Engineering Economics Problem Set#1 I. Solve the diagram below for the unknown Q assuming an 8% annual interest rate. You went to the bank and borrowed $600.00. Calculate the amount of repayment which is at the end of 4 years at an interest rate of 10% annually. 2. 3 $3,000.00 is borrowed at a monthly interest rate of 1.5% for 5 years. What is the final payment? 4. You borrowed S10,00.00 which is to be repaid in equal quarterly payments of 1,336.00 over the next 2 years a) Determine the interest per interest period based on quarterly compounding. b) What are the nominal and effective interest rates? 5. You bought a used car for$6,000.00 at a nominal interest rate of24%. You agreed to pay for the car in 12 equal monthly payments, beginning with the first payment at the time of the purchase of the car. a) What is the monthly payment? b) Immediately after making the sixth payment, you made an arrangement wi the company to pay back the rest of the loan with one single payment at the time when the seventh payment was due. What is your final payment