- Don made deposits of $500 at the end of each year for 8 years. The rate is 8% compounded annually. Using the tables found in the textbook, calculate the value of Don’s annuity at the end of the eight years.
**(This questions requires a table which I will attach at Q1)**

- $4,318.30
- $2,873.30
- $5,318.30
- $2,837.03

- Alice wants to know how much she’ll have to invest today to receive an annuity of $10,000 for six years if interest is earned at 7% annually. She’ll make all of her withdrawals at the end of each year. How much should she invest?

- $47,665
- $55,800
- $45,000
- $58,333

- A new piece of equipment costs $18,000 with a residual value of $600 and an estimated useful life of five years. Assuming twice the straight-line rate, the book value at the end of Year 2 using the declining -balance method is

- $11,520
- $18,000
- $6,480
- $7,200

- When are annuity due payments made?

a) monthly

b) at the beginning of the period

c) at the end of the period

d) yearly

- Which of the following methods is
**not**based on the passage of time?

- Straight-line method
- None of these
- Declining -balance method
- Units-of-production method

- Ted Williams made deposits of $500 at the end of each year for eight years. The rate is 8% compounded annually. What the value of Ted’s annuity at the end of eight years?
**(This also uses a table from the book which I will mark at Q6 and attach)**

- $5,318.30
- $2,837.03
- $4,318.30
- $2,873.30

- In calculating the daily balance, cash advances are

- Sometimes added in
- Always added in
- Sometimes subtracted out
- Always subtracted out

- Andrew invests $9,000 at the end of each year for 20 years. The rate of interest Andrew gets is 8% annually. Using the tables found in the textbook, determine the final value of Andrew’s investment at the end of the twentieth year on this ordinary annuity.
**(I will attach the table and mark it at Q8)**

- $411,858.00
- $411,588.00
- $88,632.90
- $88,362.90

- Bayani is charged 2 points on a $120,000 loan at the time of closing. The original price of the home before the down payment was $140,000. How much do the points in dollars cost Bayani?

- $2,800
- $8,200
- $2,400
- $4,200

- Stu Reese has a $150,000 7 ½ % mortgage. His monthly payment is $1,010.10. His first payment will reduce the principal to an outstanding of

- $149,927.40
- $149,910.40
- $72.60
- $149,729.40

- Marc bought a new split level for $200,000. Marc put down 30%. Assuming a rate of 11 ½ % on a 30-year mortgage, use the tables found in the textbook to determine Marc’s monthly payment.
**(I will attach the tables calling it Q11)**

- $1,423.80
- $1,367.80
- $1,982.00
- $1,387.40

- Amount financed is equal to cash price _________ down payment.

- Plus
- Divided by
- Times
- Minus

- What does an amortization schedule show?

- The portion of payment broken down to interest and schedule
- The increase in loan outstanding
- The balance of interest outstanding
- The increase to principal

- Bill’s Pizza has an asset turnover of 3.5. The total assests of Bill’s were $95,000. The net sales of Bill’s Pizza is.

- $271,428.50
- $33,250.00
- $332,500.00
- $27,142.85

- Given a mortgage of $48,000 for 15 years with a rate of 11%, what are the total finance charges? (Use Table 15.1 in the textbook for the factor)
**I will attach the table and name is Q15.**

a)$545.76

b) $5,023.68

c) $54, 576

d) $50,236.80

- The reduction of principal each month is equal to the payment _______ the interest.

- Times
- Minus
- Plus
- Divided by

- Jorgen made deposits of $250 at the end of each year for 12 years. The rate received was 6% annually. What’s the value of the investment after 12 years?

- $4, 217.48
- $2,028
- $3,000
- $4,200

- An annuity due can use the ordinary annuity table if one extra period is added and

- One payment is added to total value
- Two payments are added to total value
- One payment is subtracted from total value
- Three payments are subtracted from total value

- When each asset is analyzed as a percent of total assets for a single period, this is known as

- Horizontal analysis
- Comparative analysis
- Vertical analysis
- Ratio analysis

- The present value of an ordinary annuity

- Is a lump sum
- Tells how much money one needs to invest in the future
- Indicates how much money needs to be invested today
- Can only be calculated manually