1. Harford Undercover LLC has annual sales of 3,550,000. Earnings before interest and taxes is equal to 21 percent of sales. For the period, the firm paid $117,900 in interest. What is the profit margin if the tax rate is 38 percent?

2. You find a home that you can purchase for $295,000. You make a 20 percent down-payment on the home. You find a savings bank that will write a loan for 30 years at a 4.5 percent annual rate with monthly payments that include interest and principal. Calculate the monthly payment.

3. Assume you are to receive a 25-year annuity with annual payments of $100. The first payment will be received at the end of Year 1, and the last payment will be received at the end of year 25. You will invest each payment in an account that pays 5.5 percent. What will be the value in your account at the end of Year 25? End of Year 30?