Question
A.Find the future value of an annuity of $1200 paid at the end of each year for 5 years, if interest is earned at a
A.Find the future value of an annuity of $1200 paid at the end of each year for 5 years, if interest is earned at a rate of 6%, compounded annually. (Round your answer to the nearest cent.)
B.Find the future value of an ordinary annuity of $90 paid quarterly for 3 years, if the interest rate is 9%, compounded quarterly. (Round your answer to the nearest cent.)
C.The Weidmans want to save $30,000 in 3 years for a down payment on a house. If they make monthly deposits in an account paying 12%, compounded monthly, what is the size of the payments that are required to meet their goal? (Round your answer to the nearest cent.)
D.A sinking fund is established to discharge a debt of $20,000 in 25 years. If deposits are made at the end of each 6-month period and interest is paid at the rate of 8%, compounded semiannually, what is the amount of each deposit? (Round your answer to the nearest cent.)
E.If $5500 is deposited at the end of each quarter in an account that earns 8% compounded quarterly, after how many quarters will the account contain $70,000? (Round your answer UP to the nearest quarter.)
f.Twins graduate from college together and start their careers. Twin 1 invests $2500 at the end of each year for 10 years only (until age 31) in an account that earns 7%, compounded annually. Suppose that twin 2 waits until turning 40 to begin investing. How much must twin 2 put aside at the end of each year for the next 25 years in an account that earns 7% compounded annually in order to have the same amount as twin 1 at the end of these 25 years (when they turn 65)? (Round your answer to the nearest cent.)
g. (1) Patty Stacey deposits $2600 at the end of each of 5 years in an IRA. If she leaves the money that has accumulated in the IRA account for 25 additional years, how much is in her account at the end of the 30-year period? Assume an interest rate of 9%, compounded annually. (Round your answer to the nearest cent.) g. (2) Suppose that Patty's husband delays starting an IRA for the first 10 years he works but then makes $2600 deposits at the end of each of the next 15 years. If the interest rate is 9%, compounded annually, and if he leaves the money in his account for 5 additional years, how much will be in his account at the end of the 30-year period? (Round your answer to the nearest cent.)
h.Find the future value of an annuity due of $5,000 paid at the beginning of each 6-month period for 9 years if the interest rate is 6%, compounded semiannually. (Round your answer to the nearest cent.)
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