Business Finance Questions

There are 6 questions for this business finance assignment Show all working in assignment calculations. In questions involving the use of a financial calculator, you are required to show all financial calculator steps in your answer. The first questions is: (a) You want to travel to Europe to visit relatives when you graduate three years from now. The trip is expected to cost a total of $10,000 at that time. Your parents have deposited $5,000 for you in an account paying 6% interest annually, maturing three years from now. Aunt Hilda has agreed to finance the balance. If you are going to put Aunt Hilda's gift in an investment earning 10% over the next three years, how much must she deposit now, so you can visit your relatives at the end of three years? (b) As a part of your savings plan at work, you have been depositing $250 per quarter in a savings account earning 8% per annum interest, compounded quarterly, for the last ten years. You will retire in 15 years and want to increase your contribution each year from $1,000 to $2,000 per year, by increasing your contribution every three months from $250 to $500. Additionally, you have just inherited $10,000 which you plan to invest now to earn interest at 12% compounded annually for the next 15 years. How much money will you have in savings when you retire 15 years from now? Draw appropriate timeline(s) to demonstrate your calculations.