Question
1) What is the accumulated sum of the following stream of payments? $1,010 every year at the end of the year for 9 years at
1) What is the accumulated sum of the following stream of payments?
$1,010 every year at the end of the year for 9 years at 6.71 percent, compounded annually.
Round the answer to two decimal places.
2) For the next 15 years, you decide to place $2,009 in equal year-end deposits into a savings account earning 11.51 percent per year. How much money will be in the account at the end of that time period?
Round the answer to two decimal places.
3) What is the present value of the following annuity?
$2,586 every year at the end of the year for the next 5 years, discounted back to the present at 5.03 percent per year, compounded annually?
Round the answer to two decimal places.
4) You have accumulated some money for your retirement. You are going to withdraw $99,700 every year at the end of the year for the next 16 years. How much money have you accumulated for your retirement? Your account pays you 12.41 percent per year, compounded annually. To answer this question, you have to find the present value of these cash flows.
Round the answer to two decimal places.
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