1. Mr. Blochirt is creating a college investment fund for his daughter. He will put in $13,000 per year for the next 16 years and expects to earn a 11% annual rate of return. How much money will his daughter have when she starts college? Use Appendix C. (Round "FV Factor" to 3 decimal places.)
A. $498,457
B. $510,197
C. $509,470
D. $497,444
2. You will deposit $12,000 today. It will grow for 10 years at 10% interest compounded semiannually. You will then withdraw the funds annually over the next 8 years. The annual interest rate is 8%. Your annual withdrawal will be: Use Appendix A and Appendix D. (Round "PV Factor" and "FV Factor" to 3 decimal places.)
A. $8,787
B. $5,540
C. $6,795
D. $2,993