1. How long will it take to pay off a loan of ?$55,000 at an annual rate of 10?% compounded monthly if you make monthly payments of ?$600 ?(round up) To pay off the? loan, it will take approximately _____ years.(Round up to the nearest? integer.)
2. Ghanata Oil has a well that will produce an annual cash flow of $236 million next year. The cash flow is expected to increase by 3.5 percent per year indefinitely. What is the well worth today if the discount rate is 15 percent?
Show work.