1. TJ’s has annual sales of $813,200, total debt of $176,000, total equity of $395,000, and a profit margin of 4.63 percent. What is the return on assets?
2. Travis invested $8,250 in an account that pays 4 percent simple interest. How much more could he have earned over a 7-year period if the interest had compounded annually?
3. You want to create a college fund for a child who is now 3 yrs old. The fund should grow to $60,000 in 15 yrs. If an investment available to you will yield 6 percent per year, how much must you invest in a lump sum now to realize the $60,000 when needed?