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1. a) Suppose you save $10,000 at the end of every six months for your retirement. If you can earn 7% per year (APR) on your investments, how much will you have saved by the time you retire in 30 years? (Round to 2 decimal places)

b) An investment promises to pay you $8,000 per year forever with the first payment in 10 years. If alternative investments of similar risk earn 6% per year, determine the maximum you would be willing to pay for this investment. (rounded to 2 decimal places)

c) Suppose you plan to save $7,000 at the end of each coming year for the next 35 years from now for retirement. The interest rate is 10%. How much will you have 35 years from now?

d) Suppose you will receive payments of $6,000 at the beginning of the next 7 years (i.e., the first payment is today). What is the present value of all the payments? The interest rate is 13%. (round to 2 decimal places)

e) Suppose a condo generates $12,000 in cash flow at the end of year one. If the cash flows grow at 5% per year, the interest rate is 10%, and the building will be torn down in 25 years (the building is worthless after 25 years), what is the most you would pay for the condo today? (round to two decimal places)

Please show your work and round to 2 decimal places on all! Thanks

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