2 . At an annual interest rate of five percent , how long would it take for your savings to double ?
3 . In the mid-1990s , selected automobiles had an average cost of $ 12,000 . The average cost of those same motor vehicles is now $ 20,000 . What was the rate of increase for this item between the two time periods ?
4 . A family spends $ 28,000 a year for living expenses . If prices increase by 4 percent a year for the next three years , what amount will the family need for its living expenses ?
5 . What would be the yearly earnings for a person with $ 6,000 in savings at an annual interest rate of 5.5 percent ?
6 . Elaine Romberg prepares her own income tax return each year . A tax preparer would charge her $ 60 for this service . Over a period of 10 years , how much does Elaine gain from preparing her own tax return ? Assumes she can earn 3 percent on her savings .
7 . Tran Lee plans to set aside $ 1,800 a year for the next six years , earning 4 percent . What would be the future value of this savings amount ?
8 . If you borrow $ 8,000 with a 5 percent interest rate to be repaid in five equal payments at the end of the next five years , what would be the amount of each payment ? ( Note : Use the present value of an annuity table in the Chapter Appendix .)
9 . Based on the following data , compute the total assets , total liabilities , and net worth .
Liquid assets , $ 3,670 Household assets , $ 89,890 Investment assets , $ 8,340 Long-term liabilities , $ 76,230