Question 1. An employee enrolls in a program that buys $500 worth of shares in her company each month for four months. This is done at prices of $24.00, $25.00, $20.00, $21.00, respectively.

(i) What were the least number and largest number of shares that were bought in any month?

(ii) Give the formula for the average cost of the shares she purchased under this arrange ment.

(iii) Is the actual average cost of the shares she purchased less than, equal to or greater than the arithmetic average $22.50 of the prices each month? (Circle one).

(iv) A person decides to endow an annual UH scholarship of $3,000 a year for UH mathe matics majors. The UH development office says that the cost of this will be $P where P is the cost of a perpetuity of $3,000 at a discount factor of 0.98 per year. Give the formula for the cost of endowing this scholarship and evalaute this cost.