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1. Suppose that you invested $1,000 in an investment bank today. Assume also that you invest at a guaranteed fixed rate of 6.00% after tax for a period of 5 years. How much will this amount grow to by the time the investment account matures

2. If you deposit $5,000 today in an account paying 10%, how long does it take to grow to $10,000?

3. Assume the total cost of a 3-year commerce university education will be $100,000 when your child enters university in 20 years. Assume you have $5,000 to invest today. What rate of interest must you earn on your investment to cover the cost of your future childs education?

4. How much would you have to set aside today in order to have $20,000 five years from now assuming the current interest rate is 7.00%?

5. A bank is offering 12 per cent interest compounded quarterly, if you put $200 in an account, how much will you have at the end of year 2?

6. You have $10,000 to invest for one year and the following choices are offered by the banks in your area: - 6% p.a., compounded annually; 5.90% p.a., compounded daily; Which of the alternatives would you choose?

7. You invest $1,000 in an account today. The interest is 10% p.a., compounded continuously. What will be the balance in the account at the end of five years?

8. Suppose you want a balance of $1,000 at the end of five years. If interest on the account is 10% p.a., compounded continuously, how much must you deposit today?

9. You deposit $1,000 now, $1,500 in one year, $2,000 in two years and $2,500 in three years in an account paying 10% interest per annum. How much do you have in the account at the end of the third year?

10. You deposit $1,500 in one year, $2,000 in two years and $2,500 in three years in an account paying 10% interest per annum. What is the present value of these cash flows?

Can I get detailed answers to these questions please, would be really appreciated thankss! :D

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