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1) An investor invested $25,000 in a stock that has averaged a 6% return for 30 years.He/she will also invest $4,000 at the end of

1) An investor invested $25,000 in a stock that has averaged a 6% return for 30 years.He/shewill also invest $4,000 at the end of each year for 30 years.Calculate the future value and thefuture value of an ordinary annuity and add both answers together.Calculate the sameproblem using the Excel spreadsheet and the =FV() formula.

Note - the Future Value Syntax is =FV(rate,nper,pmt,[pv],[type])rate = % or decimal, nper = number of periods, (years, months etc.), pmt = payments,since there are no payments for a lump sum FV problem, put a comma & a blank spacefor pmt, pv = present value, ($ amount), use a negative $ amount, type = investing $ atend or beginning of year, 0 = end of year, 1 = beginning of year, use 0FormulaNote - the Future Value of an Ordinary Annuity Syntax is =FV(rate,nper,pmt,[pv],[type])rate = % or decimal, nper = number of periods, (years, months etc.), pmt = payments,($ amount), use a negative $ amount, pv = present value, put a 0, type = investing $ at endor beginning of year, 0 = end of year, 1 = beginning of year, use 0

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