Question: Please answer these 3 questions 28. You are considering an investment that promises to make 10 payments of $5,000. The payments will be made every

 Please answer these 3 questions 28. You are considering an investment

Please answer these 3 questions

28. You are considering an investment that promises to make 10 payments of $5,000. The payments will be made every two years. The only twist is that the first payment will be received in one year. If you required a return of 10% per year compounded semi-annually, how much would you be willing to pay for this investment? A) $18,054.93 B) $23,046.22 C) $21,945.87 D) $16,445.31 E) $19,905,56 29. You plan to make 24 equal quarterly payments (payments are at the end of each period) into an account to pays 8% (per year compounded quarterly). If you need $5,000 at the end of 10 years (i.e. 4 years after the last payment is made into the account), how much would you have to deposit into the account every quarter? Round your answer to the nearest 10 dollars. A) $140 B) $120 C) $130 D) $100 E) $110 30. You have borrowed $135,000 from the bank today. You are required to repay this money over the next six years by making monthly payments of $2,215,10 at the end of each month. What is the quoted interest rate for the loan (with monthly compounding)? A) 5.65% B) 6.13% C) 9.63% D) 4.71% E) 6.38%

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