Question 1.
Suppose that at a given time, the market price for a bond is 15.2% more than its par value. If its coupon rate is 5.6%, what is the bond's current yield at this time?
Round your answer to the nearest tenth of one percent.

Question 2
How many years will it take for a simple interest rate of 5.5% to be equivalent to a simple discount rate of 3.5%? Round your answer to the nearest year.

Question 3
For a certain mutual fund, the rates of return between 2010 and 2016 are given in the following table:

Year Rate of Return
2010 2.9%
2012 2.8%
2013 2.0%
2014 2.6%
2015 ???
2016 -0.5%

If the overall rate of return during this time was 0.2%, what was the rate of return during 2015? Round your answer to the nearest tenth of one percent.

Question 4
How many months will it take for a debt to grow by 12% if the loan's annual compound interest rate is 9.9% with monthly compounding? Round your answer to the nearest month.

Question 5
Consider a lender that compounds interest 192 times per year and whose equivalent annual rate is 28.7%. What is this lender's nominal rate? Round your answer to the nearest tenth of one percent.

Question 6
In 2016, a single person's gross annual income was $100221 with biweekly paychecks. She has 2 dependent children and made the following tax-deductible purchases:

Charity - $1542
Medical Expenses - $2722
Student Loan Interest - $2138
Mortgage Interest = $1213

Use the following information to compute her 2016 tax refund. Round your answer to the nearest dollar.
Exemption - $4,050 per person per year

Standard Deduction:
$6,300 for single filers
$12,600 for married couples

Income Tax Table:
Taxable income Tax
$0- $9275 10%
$9,276- $37,650 $927.50 plus 15% of amount over $9,275
$37,651- $91,150 $5,183.75 plus 25% of amount over $37,650
$91,151- $190,150 $18,558.75 plus 28% of amount over $91,150
$190,151- $413,450 $46,278.75 plus 33% of amount over $190,150
$413,451- $415,051 $119,934.75 plus 35% of amount over $413,350
$415052 or more $120,529.75 plus 39.6% of amount over $415,050
Withholding allowance - $4,050 per person per year.

Withholding table:
Wages Withholding
$0- $87 $0
$87- $443 10% of amount exceeding $87
$443- $1,535 $35.60 plus 15% of amount exceeding $433
$1,535- $3,592 $199.40 plus 25% of amount exceeding $1,535
$3,592- $7,400 $713.65 plus 28% of amount exceeding $3,592
$7,400- $15,985 $1,779.89 plus 33% of amount exceeding $7,400
$15,985- $16,050 $4,612.94 plus 35% of amount exceeding $15,985
$16,050 or more $4,365.69 plus 39.6% of amount exceeding $16,050

Question 7
Suppose you plan to retire in 33 years with an amount of money that has the same buying power that $526680 has today. You will attain this goal by making biweekly contributions to a 401(k) plan. The plan offers an annual rate of 6.2% and your employer offers a 30% match. If the anticipated annual rate of inflation is 1.4%, how much do each of your biweekly contributions need to be? Round your answer to the nearest dollar.

Question 8
How many weekly deposits of $151 are required to accumulate $86243 if they are made to an account whose annual rate is 7.7%? Round your answer to the nearest deposit.

Question 9
Martha invests $67 every two weeks into a retirement account whose annual rate is 2.5%. How much interest will she have earned after 11 years? Round your answer to the nearest dollar.

Question 10
You want to finance a car for 10 years. If the bank offers an annual rate of 5.4% and you can afford to make monthly payments of no more than $251, what is the most expensive car you can afford to buy? Round your answer to the nearest dollar.

Question 11
Suppose that Jenna borrows $18513 and plans to pay it back by making monthly payments of $54. If the loan's annual rate is 1.4%, how much interest will she pay on this loan? Round your answer to the nearest dollar.

Question 12
Consider a 24-year loan for $87010 at an annual rate of 6.4% with biweekly payments. After 6 years, this loan is refinanced to an annual rate of 4.3% for the remainder of the term. What is the remaining balance after 11 years? Round your answer to the nearest dollar.

Question 13
Consider a 17-year loan for $15796 at an annual rate of 9% with monthly payments. How much of payment number 56 will go toward interest? Round your answer to the nearest dollar.

Question 14
Tony wants to borrow $70007 for 11 years with monthly payments. The bank offers an annual rate of 4.8%, but its lets customers purchase points that lower the interest rate. Each point reduces the rate by half a percent (for example, one point would reduce a 5% rate to a 4.5% rate). If Tony wants to by 4 points, what is the maximum cost per point that would make his decision viable? Round your answer to the nearest dollar.

Question 15
Find the payments on a 3-year lease for a $25232 car if the annual rate of depreciation is 11.3% and the lease's annual interest rate is 3.2%. Round your answer to the nearest dollar.

Question 16
Compute the interest on a 2-year lease for a $33400 car if the car's annual rate of depreciation is 13% and the lease's annual interest rate is 3.0%. Round your answer to the nearest dollar.

Question 17
Betty wants to finance a house which costs $193789. The bank requires a minimum of 10% equity and offers 20-year mortgages at an annual rate of 4.9%. The annual property tax is 0.9% of the cost, and the homeowner's insurance is 0.6% of the cost. Moreover, the bank does not charge any private mortgage insurance.
What does Betty's gross annual income need to be to satisfy the 28% rule? Round your answer to the nearest dollar.

Question 18
Consider a 30-year mortgage for $256104 at a rate of 5.3%. After 11 years, the mortgage is refinanced to a rate of 3.0% for the remainder of the term.
How much interest was paid on this mortgage? Round your answer to the nearest dollar.

Question 19
Use the following table:
Country Currency US Equivalent Currency per US$1
Brazil Real (R$) 0.32058 3.11938
Morocco Dirham (MAD) 0.10618 9.41833
Convert MAD5640 to Brazilian Reals. Round your answer to the nearest Real.

Question 20
Suppose you want to buy a new car and have narrowed your search to two possibilities:
A $20064 regular car that gets 32 miles per gallon.
A $22859 hybrid car that gets 42 miles per gallon.
If gas costs $4.98 per gallon, how many miles will you have to drive the hybrid car in order for the gas savings to recoup the difference of the cost of the two cars? In other words, after how many miles does the hybrid car become cheaper (to buy and to drive) than the regular car?

Question 1. Suppose that at a given time, the market price for a...