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Unformatted text preview: bank time deposit that pays a nominal annual rate of 5%. By what amount would your net worth change if you accept the new lease? (Hint: Your return per month is 5%/12 = 0.4166667%.) A) +$509.81 B) +$125.30 C) -$253.62 D) -$509.81 E) +$253.62 Points Earned: 5.0/5.0 Correct Answer(s): C 9. Suppose you borrowed $25,000 at a rate of 8% and must repay it in 4 equal installments at the end of each of the next 4 years. How much would you still owe at the end of the first year, after you have made the first payment? A) $18,513 B) $21,110 C) $19,452 D) $18,976 E) $19,049 Points Earned: 5.0/5.0 Correct Answer(s): C...
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- Spring '09