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An annuity provides for 15 annual payments. The first of these payment is 2000, and each subsequent is 5% less than the one proceeding it.
An annuity provides for 15 annual payments. The first of these payment is 2000, and each subsequent is 5% less than the one proceeding it. Assume that the interest rate i=0.09, find the accumulated value of this annuity at the time of final payment. [Hint: draw an annuity diagram over the 15 years period of time. Note that the longest interest earned period is 14 years]
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