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(4 points) Suppose that the effective annual interest rate is 7.5%. a) Find the present value of the annuity-immediate consisting of 22 annual payments forming

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(4 points) Suppose that the effective annual interest rate is 7.5%. a) Find the present value of the annuity-immediate consisting of 22 annual payments forming an arithmetic progression: $110, $105,..., $5. Answer = $ b) Find the present value of the annuity-immediate consisting of 22 annual payments forming an arithmetic progression: $410, $405,..., $305. Answer = $

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