1. Charlie earned $70,000. If the total social security tax rate is 15.3%, then how much was his total social security tax? Of this, how much did his employer pay in social security taxes for Charlie?
2. What is a derived asset? First do some research on an “option”. There are two types of options in finance-put and call. Explain in a layman’s language, the difference between the two. In current financial markets, would you invest in a put or a call option?
3. You take out a loan for a sum of $100,000 at APR of 8%. Interest payments are due on a quarterly basis. Without paying down your debt, what is the value of your annual payments?