4. Retirement planning. - Calculate the amount needed at the beginning of retirement and the yearly savings during the accumulation phase for the following case. Data: yearly retirement income $20,000; years to be covered 30, retirement account rate 6%; return on the investment during accumulation phase 10%; years until retirement 20.

Let X be the least five significant digits in your student ID. For example, if your students ID iss00012345, then X = 12345. Use the value of X obtained based on your student ID in the problem below. The tree diagram describes the uncertain cash flows for an engineering project. The analysis period is two years, and the MARR = 12% per year. Based on this information, find: a. E(PW)? b. V(PW)? c. SD(PW)?

S. Clay Harden borrowed $25,000 from a bank at an interest rate of 9% compounded monthly. The loan will be repaid in 36 equal monthly installments over three years.Immediately after his 20th payment, Clay desires to pay the remainder of the loan in a single payment. Compute the total amount he must pay. The total amount Clay must pay immediately after his 20th payment will be $(Round to the nearest dollar.)

Question 2 Take any marriage problem in which agents on one side, say, women, have the same preferences over the men. Without loss of generality, assume that the preference of any woman w is Pwтi, т,, тѣ, .., Mz.%3D For simplicity we assumethat men and women are mutually acceptable. Wedo not needto make any assumption about the number of men (z) and number of women (y). The resultwill hold regardless of whether we have z < y, z = y or z > y. The objective of this exercise is to show that in this case there is a unique stable matching. 1. Let w be m's most preferred woman. Show that if a matching u is such that µ(wi) /=mi then u cannot be stable. 2. Consider now m.. Let wz be m's most preferred woman in W\{wi}. Show that at any stable matching m is necessarily matched to wr. 3. Consider now m:. Using the previous question, to which woman will m: be matched at any stable matching? 4. Make a short (3-4 lines max) argument to deduce what happens with m., ms, ...

Marginal cost equals A. total cost per unit of output. B. average total cost given a one-unit change in output. C. fixed costs minus variable costs. D. the change in total cost given a one-unit change in output.

Indicate whether each of the following is an assumption of perfect competition: A. A large number of buyers B. Large barriers to enter the market C. A large number of firms D. Each firm faces a downward-sloping demand curve E. Buyers and sellers have complete information about prices.

Assume that you have 7.000,00€ available today, and you wish to invest it in order to get back 12.000,00€ after 4 years. What would be the interestrate that you may agree upon your investment?

3. Please answer the following questions with regards to the given data: Quigley can produce 2 financial statements per hour or 8 tax returns per hour, meanwhile Slokum can produce 1 financial statement per hour or 1 tax return per hour. Who has the absolute advantage with regards to financial statements? Why? Who has the absolute advantage with regards to tax returns? Why? Quigley can produce 2 financial statements per hour or 8 tax returns per hour, meanwhile Slokum can produce 1 financial statement per hour or 1 tax return per hour. Who has the absolute advantage with regards to financial statements? Why? Who has the comparative advantage with regards to financial statements? Why? Who has the comparative advantage with regards to tax returns? Why?

A broadband service company borrowed $2 million for new equipment and repaid the principal of the loan plus $275,000 interest after 1 year. What was the interest rate on the loan?

What amount will be required to purchase, on an engineers's 40th birthday, an annuity to provide him with 25 equal semiannual payments of $10,000 each, the first to be received on his 60th birthday, if nominal interestis 4% compounded semiannually?