1. **Problem:** Mr. Salinas saves 3000 per month, interest rate 9% compounded monthly, for 6 months. Find the future value. 2. **Solution:** Use the future value of an ordinary annuity formula: $$ FV = P \times \frac{(1 + r)^n - 1}{r} $$ where $P=3000$, monthly rate $r=\frac{9\%}{12}=0.0075$, and $n=6$. Calculate: $$ FV = 3000 \times \frac{(1 + 0.0075)^6 - 1}{0.0075} $$ $$ = 3000 \times \frac{1.046134 - 1}{0.0075} = 3000 \times 6.1512 = 18453.57 $$ 2. **Problem:** Althea pays 38973.76 each year for 3 years at 8% compounded quarterly. Find the principal borrowed. 3. **Solution:** Given annuity payment $A = 38973.76$, rate per quarter $r=\frac{8\%}{4}=0.02$, number of quarters $n=3 \times 4=12$. Use present value formula for annuity: $$ PV = A \times \frac{1 - (1 + r)^{-n}}{r} $$ Calculate: $$ PV = 38973.76 \times \frac{1 - (1 + 0.02)^{-12}}{0.02} $$ $$ = 38973.76 \times 10.5754 = 412115.90 $$ 3. **Problem:** How long is the deferral period if you pay 2000 monthly for 5 years starting after 7 months? 4. **Solution:** Payment period $n = 5 \times 12 = 60$ months, but payments start after 7 months, so deferral period is 7 months. 4. **Problem:** Ms. Poliquit pays 5000 quarterly for 8 years starting 2 years later. Find deferral period. 5. **Solution:** Deferral period is 2 years = $2 \times 4 = 8$ quarters. 5. **Problem:** Find the semi-annual coupon of a bond with face value 30000, 10% annual coupon, semiannual payments. 6. **Solution:** Annual coupon = 10% of 30000 = 3000 Semi-annual coupon = $\frac{3000}{2} = 1500$ 6. **Problem:** Dividend declared 50000000 total, 100000 shares. Find dividend per share. 7. **Solution:** Dividend per share = $\frac{50000000}{100000} = 500$ 7. **Problem:** With 1000 shares, 10% dividend on par value 450. Find total dividend. 8. **Solution:** Dividend per share = $10\% \times 450 = 45$ Total dividend = $45 \times 1000 = 45000$ 8. **Problem:** Find dividend per share in problem 7. 9. **Solution:** Dividend per share = 45 Final Answers: 1. $18453.57$ 2. $412115.90$ 3. 7 months 4. 8 quarters 5. $1500$ 6. $500$ 7. $45000$ 8. $45$