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( a ) For a given positive integer n , a rate of interest i can be found such that 4 s 2 n =

(a) For a given positive integer n, a rate of interest i can be found such that 4s2n=9sn.
Express in terms of n, how long it will take for money to double at this rate of
interest.
(b) An annuity is payable half-yearly for six years, the first half-yearly payment of
amount RM1800 being due after two years. The amount of subsequent payments
decreases by RM30 each half-year. On the basis of nominal interest of 5%
convertible half-yearly, calculate the present value of the annuity.
(c) An annuity-immediate is payable annually for 20 years. The annual payment is
RM50 for six years, followed by RM70 for nine years and finally RM100 for five
years.
(i) Show that the value of the annuity at the time of the first payment can be
written as:
100a20-30a15-20a6
(ii) Show that the value of the annuity at the time of the last payment can be
written as:
50s?bar(20)+20s14+30s?bar(5)
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