Problem ill (3 points each) 1. You deposit $1000 a month into your retirement account earning 5% per year for the next 30 years. How much will you have when you retire at the end of 30 years? 2. If you continue to earn 5% per year how much could you withdraw each year for 20 years after retirement? 3. You can borrow from Bank A or Bank B to purchase a car. Bank A charges you 6 percent per year compounded monthly while Bank B charges 5.9 percent per year compounded daily. Which bank would you prefer to borrow from? 4. ABC has a beta coefficient of 2.0. If the expected return on the market E(Rm) = 10% and the risk free return Rf = 4%, what is the expected return and beta of your investment if you buy ABC on margin. Assume an MR=0.4 5. The return on the Japanese stock market was 15% in 2016, 30% in 2017 and -20% in 2018. If you invested $1000 at the beginning of each of the last 3 years, how much would you have at the end of 2018 6. What is the IRR of the above investment