Question
1) Derek will deposit $9,441.00 per year for 30.00 years into an account that earns 4.00%, The first deposit is made next year. How much
1) Derek will deposit $9,441.00 per year for 30.00 years into an account that earns 4.00%, The first deposit is made next year. How much will be in the account 33.00 years from today?
2) Derek will deposit $2,211.00 per year for 24.00 years into an account that earns 14.00%. The first deposit is made today. How much will be in the account 24.0 years from today? Note that he makes 24.0 total deposits.
3) Derek will deposit $1,696.00 per year into an account starting today and ending in year 22.00. The account that earns 10.00%. How much will be in the account 22.0 years from today?
4) Derek has the opportunity to buy a money machine today. The money machine will pay Derek $10,818.00 exactly 19.00 years from today. Assuming that Derek believes the appropriate discount rate is 7.00%, how much is he willing to pay for this money machine?
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