Final exam wed 9 dec, 2009 from 2:00 to 5:00pm. Students are allowed to bring a (financial) calculator and a crib sheet (legal or letter size). Printed, photocopied or scanned materials are not allowed. Total number of questions: 6; total number of pages: 14. Write down your answers on the space provided below each question; if you need more space, you can write at the back of the examination papers with a proper indication. Always clearly show all steps in your calculations. Grading will not be based on final solutions only. Suppose today is january 1, 2009 and you are a banker issuing (selling) the following three financial products. You know that the effective annual rate (ear) for all cash flows in the future is 10%. Product a: this product will make 20 payments in total. After that, the remaining payments will be made every 4 months and the payments will grow at a rate of 0. 5%.