Question
1.) Find the future values of the ordinary annuities at the given annual rate r compounded as indicated. The payments are made to coincide with
1.) Find the future values of the ordinary annuities at the given annual rate r compounded as indicated. The payments are made to coincide with the periods of compounding. (Round your answer to the nearest cent.)
PMT = $120, r = 5.4%, compounded weekly for 30 years
2.) Find the periodic payment for each sinking fund that is needed to accumulate the given sum under the given conditions. (Round your answer to the nearest cent.)
FV = $1,800,000, r = 6.7%, compounded monthly for 40 years
3.) An individual earns an extra $2000 each year and places this money at the end of each year into an Individual Retirement Account (IRA) in which both the original earnings and the interest in the account are not subject to taxation. If the account has an annual interest rate of 8.3% compounded annually, how much is in the account at the end of 40 years? (Round your answer to the nearest cent.
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