Q1. Rami deposits $60,000 today in an account that pays 4.6% p.a. interest, compounding semi-annually. How much can be withdrawn from his account in 10 years. ( Show your calculations ) Q2. You invest...

Q1. Rami deposits $60,000 today in an account that pays 4.6% p.a. interest, compounding semi-annually. How much can be withdrawn from his account in 10 years. (Show your calculations)

Q2. You invest $2000 at the end of every 6 months at a rate of 7% p.a. compounding semi-annually.

How much money would you have in your account after 8 years?

Q3. A portfolio consists of $100,000 in share A that yield 5% and $150,000 in share B with an expected return of 8%. Share A has a variance of 2% and share B has a variance of 3%. The covariance between returns is 0.00782.

1. 
   
   What is the expected return for this $250,000 portfolio?
   
   


2. 
   
   What is the variance of the portfolio?