MATH 1324 SJCC Business Math Interest Rate & Earned Interest Exercise Examples

Can you please answer the following questions down below. I need these questions answered.

You want to buy a $31,000 car. The company is offering a 2% interest rate for 36 months (3 years). What
will your monthly payments be?
$
You have $400,000 saved for retirement. Your account earns 8% interest. How much will you be able to pull
out each month, if you want to be able to take withdrawals for 20 years?
$
Suppose you want to have $700,000 for retirement in 35 years. Your account earns 4% interest.
a) How much would you need to deposit in the account each month?
b) How much interest will you earn?
$
You deposit $2000 in an account earning 3% interest compounded monthly. How much will you have in the
account in 5 years?
$
You have agreed to loan some money to a friend at a simple interest rate of 108% per year. Your friend
hasn’t taken this class; all they know is that they can pay you back $500 in 5 weeks.
How much money do you give your friend today so that the repayment of $500 in 5 weeks is equivalent to a
simple interest loan with a rate of 108% per year? Round your answer to the nearest dollar.
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