Determine the number of periods for which the following annuity payments would have to be invested to

Question:

Determine the number of periods for which the following annuity payments would have to be invested to accumulate to $20,000. Assume payments are made at the end of each period. Convert the number of periods to years.

1. Annual payments of $5,927 at 12% per annum, compounded annually.

2. Semiannual payments of $3,409 at 16% per annum, compounded semiannually.

3. Quarterly payments of $4,640 at 20% per annum, compounded quarterly.

Annuity
An annuity is a series of equal payment made at equal intervals during a period of time. In other words annuity is a contract between insurer and insurance company in which insurer make a lump-sum payment or a series of payment and, in return,...