Assuming you want to maintain the same standard of living


a) A loan has a stated annual rate of 15.07%. If the loan payments are made monthly and interest is compounded monthly, what is the effective annual rate of interest?

b) You invest $460.00 at the beginning of every year and your friend invests $460.00 at the end of every year. If you both earn an anual rate of return of 11.07%, how much more money will you have after 15.0 years?

c) You currently have $3,531.00 in a retirement Savings account that earns an annual return of 10.16%. You want to retire in 49 years with $1,000,000. How much more do you need to Save at the end of every year to reach your retirement goal?

d) You currently owe $2,085.00 of your credit card that charges an annual interest rate of 19.42%. You make $152.00 of new charges every month and make a paayment of $269.00 every month. What will your credit card balance be in three months?

e)You would like to retire in 27 years. The expected rate of inflation is 1.44% per year. You currently have a standard of living that requires $9.690.00 of monthly expenses. Assuming you want to maintain the same standard of living in retirement, what are your monthly expenses expected to be the first year of retirement?

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Financial Management: Assuming you want to maintain the same standard of living
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