Answers are provided but need step by step solutionswithout excel just basic step by step with formulas

1. John invested $20,000 fifteen years ago with an insurancecompany that has paid him 8 percent (APR), compounded quarterly(every 3 months). How much interest did John earnover the 15 years?= $45,620.62

2. You are running short of cash and really need to pay yourtuition. A friend suggests that you check out the local title pawnshop. At the shop they offer to loan you $5,000 if you pay themback $6,000 in one month. It seems like a good idea to you becauseyou don’t want to sell your car and you are sure you will be ableto pay the money back in a month. What is the APR on this loan?=.240%

4. You want to buy a new sports car for $50,000. The contract isin the form of a 60-month annuity due at a 7.2APR. What will your monthly payment be?=$988.85

6. The stated rate (APR) is 8.6% with semi-annual compounding.What is the equivalent annual rate (EAR)?= 8.78%

7. The effective annual rate (EAR) is 9% with monthlycompounding. What is the stated rate (APR)?= 8.649%

8. Ryan delivers newspapers and is putting $40 in the bank atthe end of each quarter. Ryan is 10 years old and will use themoney when he goes to college in 8 years. What will be the value ofRyan’s account in 8 years if he is earning 8.5% APR with quarterlycompounding?=$1,806.81

11. Tim needs to borrow $5,000 for two years. The loan(principal and interest) will be repaid in one lump sum at the endof the loan term. Which one of the following interest rates is bestfor Tim? = 7.2 percent simple interest

12. You want to invest an amount of money today and receive backtwice that amount in the future. You expect to earn 8.6 percentinterest. How long must you wait for your investment to double invalue? = 8.4 years

13. Taylor has just received an insurance settlement of $58,400.She wants to save this money until her oldest daughter goes tocollege. Taylor can earn an average of 5.5 percent, compoundedannually, on this money. How much will she have saved for herdaughter's college education if her daughter enters college 14years from now? = $123,579.74

14. Your grandfather gave you a 50 cent piece his father got in1922. Today (2010) the coin is worth $2,000. What is the return onthis investment? = 9.884 percent

16. When you were born, your aunt opened an investment accountin your name and deposited $500 into the account. You are now 22years old. Today, the account is valued at $6,492.74.. Assumingsemi-annual compounding, what is the average annual rate of returnon the account?=12%

19. William’s landscaping needs to borrow $42,000 for a newfront-end loader. The bank is willing to loan the funds at 10%interest with annual payments at the end of the year for the next10 years. What is the annual payment?= $6,835.30

20. You are delinquent on one of your credit cards. You haveagreed with the bank to make payments of $90 per month starting theend of this month. The interest rate on the balance is 1% permonth. If you owe $8,000, how long will it take for the account tobe paid off?= 221 months

Part 2: Problems.

1. You have compiled the followinginformation for a firm:

2008 2009

Sales $7,487 $9,618

Interest paid 735 785

Cost of goods sold 2,713 3,284

Other costs 592 728

Current assets 3,131 3,383

Current liabilities 564 643

Net fixed assets 8,592 7,517

Long-term debt 1,455 1,698

Dividends paid 120 100

Depreciation 202 263

year 2009. The tax rate is 35%.

1. What was net income (NI)?

2. What was operating cash flow (OCF)?

3. What was net capital spending (NCS)?

4. What was the change in net working capital (?NWC)?

5. What was the cash flow from assets (CFA)?