A) How much interest will we pay at the end of a ten-year period if we are getting a loan of $15,000 at a simple interest rate of 8% per year. What is the total amount we will owe at the end of a five-year period?
B) We deposited $1,000 at an interest rate of 5%. How much money will we have at the end of a four-year period? How much money should we deposit if we want to have $10,000 at the end of a six-year period with the same interest rate?
C) Tabulate the future value factor for interest rates of 4%, 8%, 12%, 16%, and 20%, and for the periods of: 0, 1, 2, …..20 years. Form a line chart in excel that shows the future value factors on the y-axis and the period of compounding on the x-axis. Format the excel line chart to show the chart title “Future Value Factors”, the x-axis and y-axis titles, and the legend showing each interest rate as data series.