1. Explain in detail how financial systems have changed over the past 500 years. Give at least (3) specific statements and explain thoroughly.
2. If you buy an annuity that makes monthly payments for as long as you live, describe what happens to the purchase price of the annuity if, 1)you age at the time of the purchase goes up 2)the size of your montly payment rises and your health improves.
3. Your friend owes $5,000 on a credit card that charges a 21% APR and requires a minimum payment of $150. If your friend kept making $150 payments, how long would it take to pay off the loan? How long would it take to pay the card off if your friend could pay $200 per month?