Reference no: EM133561093

Question: Derek decides to buy a new car. The dealership offers him a choice of paying $538.00 per month for 5 years (with the first payment due next month) or paying some $28,576.00 today. He can borrow money from his bank to buy the car. What interest rate makes him indifferent between the two options? Submit Attem Answer format: Percentage Round to: 3 decimal places (Example: 9.243%, % sign required. Will accept decimal format rounded to 5 decimal places (ex: 0.09243)) Derek wants to withdraw $11,557.00 from his account 7.00 years from today and $12,152.00 from his account 12.00 years from today. He currently has $3,185.00 in the account. How much must he deposit each year for the next 12.0 years? Assume a 6.24% interest rate. His account must equal zero by year 12.0 but may be negative prior to that. Submit Atter Answer format: Currency: Round to: 2 decimal places. Derek currently has $14,882.00 in an account that pays 5.00%. He will withdraw $5, 143.00 every other year beginning next year until he has taken 7.00 withdrawals. He will deposit $14882.0 every other year beginning two years from today until he has made 7.0 deposits. How much will be in the account 25.00 years from today? Submit Atte Answer format: Currency: Round to: 2 decimal places.