Mr. Case plans to set aside $4,000 each year, the unit payment to be made on January

Question:

Mr. Case plans to set aside $4,000 each year, the unit payment to be made on January 1, 2008, and the last on January 1, 2013. How much will he have accumulated by January 1, 2010. If the interest rate is
a. 6% per year?
b. 8% per year?
Required:
Calculations of present and for single payments and for annuities, to make the exercises more realistic, we do no give specific guidance with each individual exercise.

Future Value
Future value (FV) is the value of a current asset at a future date based on an assumed rate of growth. The future value (FV) is important to investors and financial planners as they use it to estimate how much an investment made today will be worth...