1. Gertrude Carter and Co. has an outstanding loan that calls for equal annual payments over the 10-year life of the loan. The original loan amount was $100,000 at an APR of 8 percent. How much of the third payment is interest?
A. $6,130.42
B. $6,207.21
C. $6,851.34
D. $7,447.76
E. $8,051.66
2. Villalpando Winery wants to raise ?$20 million from the sale of preferred stock. If the winery wants to sell one million shares of preferred? stock, what annual dividend will it have to promise if investors demand a return of
a. 11?% b. 16?% c. 8?% d. 10?% e. 5?% f. 3?%.