Reference no: EM132612116

Questions -

Question 1 - Caroline needs to put some money in her pocket this winter, so she plans on removing snow from driveways. She will need to pay $560 for a snow-blower to make her job easier. A variable cost of $3 per job for supplies would also be required. She estimates that she could clean 40 driveways a month. What price should she charge the customers for the service in order to break even?

Question 2 - A store advertises a discount of $54.72 on sandals. If the discount is 33.5%, for how much were the sandals sold?

Question 3 - A loan of $1825 taken out on March 10 requires equal payments on April 30, June 19, and August 3, and a final payment of $700 on September 30. If the focal date is September 30, what is the size of the equal payments at 8.6%?

Question 4 - An investor purchased $250 000 in 91-day T-bills on the issue date for $248 157.56. After holding the T-bills for 37 days, she sold them for a yield of 3.25%. a) What was the original yield of the T-bills? b) For how much did the investor sell the T-bills? c) What rate of return (per annum) did the investor realize while holding this T-bill?

Question 5 - Debt payments of $2130.00 and $1794.00 are due five months from now and nine months from now respectively. What single payment is required to pay off the debt today if interest is 6.36%?