1. What is the payment on a loan for $199,054 with an interest rate of 2.90% if the loan will mature in 27 years? Round to 2 decimal points and do NOT include the dollar sign.
2. Luxury properties offers bond with a coupon rate of 9.5% paid semiannually. The yield to maturity is 11.2% and the maturity date is 11 years from today. What is the market price of this bond if the face value is $1,000?
Solve using excel
3. Assume the average market return over the next 50 years is expected to be 8.9%. If an investor contributes $10 thousand into an investment account today, pays 1.5% of assets under management for various fund and advisor fees, and waits for 50 years, what percentage of his final wealth has he sacrificed in fees?
Enter answer in percents.