1. Sasha has an investment worth 32,665 dollars. The investment will make a special payment of X to Sasha in 4 years from today. The investment also will make regular, fixed annual payments of 5,500 dollars to Sasha with the first of these payments made to Sasha later today and the last of these annual payments made to Sasha in 6 years from today. The expected return for the investment is 8.64 percent per year. What is X, the amount of the special payment that will be made to Sasha in 4 years?
2. Jens just took out a loan from the bank for 16,186 dollars. He plans to repay this loan by making a special payment to the bank of 2,990 dollars in 4 years and by also making equal, regular annual payments of X for 9 years. If the interest rate on the loan is 15.01 percent per year and he makes his first regular annual payment in 1 year, then what is X, Jens’s regular annual payment?
Solve and show your work using to TI-84 financial calculator