2. [2 marks] At an interest rate 6.24% compounded quarterly, Mandy deposited $1,570 into an account at the end of every six months for nine years. (a) Identify the following parameters: Compounding frequency (CY) = Payment frequency (PY) = Periodic Interest Rate (1) = Number of Payments in the term (N) = (b) Calculate the maturity value. Ans: $ The four basic annuity formulas: FVORD = PMT [a+vyorim (1+)CY/PY 1 PVORD = PMT 1- ((1+1)CY/M (1+1)CY/PY-1 N FVDUE = PMT [ [(2+1)CY!!! (1+i)CY/TY_1 (1 + i)CY/PY; +; PVpUe = PMT |--[(+1)(1+1)CY/!8-1 (1 + i)CY/PY