Question
4-12 Find the future value of the following annuities. The first payment in these annuities is made at the end of Year 1, so they
4-12 Find the future value of the following annuities. The first payment in these annuities is made at the end of Year 1, so they are ordinary annuities. (Notes: See the Hint to Problem 4-9. Also, note that you can leave values in the TVM register, switch to Begin Mode, press FV, and find the FV of the annuity due.)
a. $400 per year for 10 years at 10%
b. $200 per year for 5 years at 5%
c. $400 per year for 5 years at 0%d.
Now rework parts a, b, and c assuming that payments are made at the beginning ofeach year; that is, they are annuities due.
Find the present value of the following ordinary annuities.
a. $400 per year for 10 years at 10%
b. $200 per year for 5 years at 5%
c. $400 per year for 5 years at 0%
d. Now rework parts a, b, and c assuming that payments are made at the beginning ofeach year; that is, they are annuities due.
PLEASE SHOW ALL WORKING AND FORMULAS
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