Please use Excel. Use 1 tab per question and indicate the question number on the tab. Please make sure all necessary inputs, formulas are clearly laid out on the Excel sheet.

1. Bradley Snapp has deposited $7,000 in a guaranteed investment account with a promised rate of 6% compounded annually. He plans to leave it there for 4 full years when he will make a down payment on a car after graduation. How much of a down payment will he be able to make?

2. Your employer contributes $100 a month to your retirement plan. Assume that you work for your employer for another twenty years and that the applicable discount rate is 5% annually. Given these assumptions, what is this employee benefit worth to you today?

3. You plan to buy a house that costs $350,000. Typical down payment for a mortgage loan is 20%, which amounts to $70,000. You have been saving for a few years and have that down payment. You plan to finance the remaining with a 30-year loan. If mortgage rate is 5.5%, what is your monthly payment?

4. The Great Giant Corp. has a management contract with its newly hired president. The contract requires a lump sum payment of $25 million be paid to the president upon the completion of her first ten years of service. The company wants to set aside an equal amount of funds each year to cover this anticipated cash outflow. The company can earn 6.5% on these funds. How much must the company set aside each year for this purpose?

5. You are considering a job offer. The job offers an annual salary of $52,000, $55,000, and $60,000 a year for the next three years, respectively. The offer also includes a starting bonus of $2,000 payable immediately. What is this offer worth to you today at a discount rate of 6%?