PLEASE SHOW THE WORK IN DETAIL!
1. Go to the Federal Reserv Web site, http://www.federalreserve.gov. Click on the Consumer Information tab, and research consumer credit in the various hyperlinks. Find average interest rates charged by commerical banks on new automobile loans, personal loans, and credit card plans.
A. Compare the average level of interest rates among the three types of loans.
B. Click on the Economic Research & Data tab, click on the "Statistics: Release and Historical Data" hyperlink and then "Consumer Credit," and compare trends in the cost of consumer credit provided by commerical banks over the past three years.
2. Determine the future values (FVs) if $5000 is invested in each of the following situations:
A. 5 percent for ten years
B. 7 percent for seven years
C. 9 percent for four years