1. If you leave the Humane Society $25,000 how much can they spend each year forever? The HS can get a return of 4% on their investments.
2. What is the effective annual interest rate of 8.25% compounded semiannually?
3. What would your car payment be if you purchased a $24,000 car, put 10% down and financed the balance at 5.25% for three years?
4. If you would like to give a scholarship for $3,000 each year forever how much do you need to leave WCU? The investment will get a 5% return.