1. You loan a friend $200 and are repaid $30 at the end of each month for the first 3 months and $120 at the end of the fourth month. What is your rate of return?a.) 18.83% b.) 70.01% c.) 5.00% 2. You loan a friend $200 and are repaid $120 at the end of the first month and $30 at the end of each month for the next three months. What is your rate of return?a.) 32.24% b.) 30.54% c.) 2.69% 3. You purchased stock 13 years ago for $5,500 and incurred $100 in brokerage fees. You received dividends of $250 at the end of each of the first 3 years, no dividends at the end of years 4 through 11, and $150 at the end of the 12th year. Immediately after receiving a $300 dividend at the end of the 13th year, you sold the stock for $21,400 and incurred brokerage fees of $300. Calculate your rate of return.a.) 11.90% b.) 11.04% c.) 33.13% 4. You have a chance to buy a promissory note. Natalia Sandino borrowed some money from her mother, agreeing to repay her with 72 monthly payments of $350. Natalia has just made her 26th monthly payment. Natalia's mother offers to sell you the note, in which case you will receive the remaining payments from Natalia. If you want to earn 14.5% compounded monthly, what price should you pay?a.) $12,295.63 b.) $16,969.53 c.) $12,444.20