Assume you make the following investments: a. You invest a lump sum of $7,250 for three years at 14% interest. What is the investment's value at the end of three years? b. In a different account earning 14% interest, you invest $2,417 at the end of each year for three years. What is the investment's value at the end of three years? c. What general rule of thumb explains the difference in the investments' future values? (Click the icon to view the future value factor table.) (Click the icon to view the future value annuity factor table.) 3 (Click the icon to view the present value factor table.) (Click the icon to view the present value annuity factor table.) a. You invest a lump sum of $7,250 for three years at 14% interest. What is the investment's value at the end of three years? (Round your answer to the nearest whole dollar.) Investment's value = | Periods 1% 0.990 1.970 2.941 3.902 4.853 5.795 6.728 7.652 8.566 9.471 10.368 11.255 12.134 13.004 13.865 18.046 22.023 25.808 32.835 Present Value of Annuity of $1 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% 18% 0.980 0.971 0.962 0.952 0.943 0.926 0.909 0.893 0.877 0.862 0.847 1.942 1.9131.886 1.859 1.833 1.783 1.736 1.6901.647 1.6051.566 2.884 2.829 2.775 2.723 2.673 2.577 2.487 2.402 2.322 2.246 2.174 3.808 3.717 3.630 3.546 3.465 3.312 3.170 3.037 2.914 2.798 2.690 4.713 4.580 4.452 | 4.329 4.212 3.993 3.791 3.605 3.433 3.274 | 3.127 5.601 5.417 5.242 5.076 | 4.917 4.623 4.355 4.111 3.889 3.685 3.498 6.472 6.230 6.002 5.786 5.582 5.206 4.868 4.564 4.288 4.039 3.812 7.325 7.020 6.733 6.463 6.210 5.747 5.335 4.968 4.639 4.344 4.078 8.162 7.786 7.435 7.108 6.802 6.247 5.759 5.328 4.607 4.303 8.9838.530 8.111 7.722 7.360 6.710 6.145 5.650 5.216 4.833 4.494 9.787 9.253 8.760 8.306 7.887 7.139 | 6.495 5.938 5.453 5.029 4.656 10.575 9.954 9.3858.863 8.384 7.536 6.814 6.1945.6605.197 | 4.793 11.348 10.635 9.9869.3948.853 7.904 7.103 6.424 5.842 5.3424.910 12.106 11.296 10.563 9.899 9.2958.244 7.3676.6286.0025.468 5.008 12.849 11.938 | 11.118 | 10.380 9.7128.559 7.606 6.811 6.142 5.575 5.092 16.351 14.877 13.590 12.462 11.470 9.818 | 8.514 7.469 6.623 5.929 5.353 19.523 17.413 15.622 14.094 12.783 10.675 9.077 7.843 6.873 6.097 5.467 22.396 19.600 17.292 15.372 13.765 11.258 9.427 8.055 7.003 6.177 5.517 27.355 23.115 19.793 17.159 15.046 11.925 9.7798.244 7.105 6.233 5.548 20% 0.833 1.528 | 2.106 2.589 2.991 3.326 3.605 3.837 4.031 4.192 4.327 4.439 4.533 4.611 4.675 4.870 4.948 4.979 4.997 Periods 1% 0.990 1.970 2.941 3.902 4.853 2% 0.980 1.942 2.884 3.808 4.713 20% 0.833 1.528 2.106 2.589 2.991 5.795 6.728 7.652 8.566 9.471 10.368 11.255 12.134 13.004 13.865 18.046 22.023 25.808 32.835 5.601 6.472 7.325 8.162 8.983 9.787 10.575 11.348 12.106 12.849 16.351 19.523 22.396 27.355 3% 4% 0.971 0.962 1.913 1.886 2.829 2.775 3.717 3.630 4.580 4.452 5.417 5.242 6.230 | 6.002 7.020 6.733 7.786 7.435 8.530 8.111 9.253 8.760 9.954 9.385 10.635 9.986 11.296 10.563 11.938 11.118 14.877 13.590 17.413 15.622 19.600 17.292 23.115 19.793 Present Value of Annuity of $1 5% 6% 8% 10% 12% 0.952 0.943 0.926 0.909 0.893 1.859 1.833 1.783 1.736 1.690 2.723 2.673 2.577 2.487 2.402 3.546 3.465 3.312 3.170 3.037 4.329 4.212 3.993 3.791 3.605 5.076 4.917 4.623 4.355 4.111 5.786 5.582 5.206 4.868 4.564 6.463 6.210 5.747 5.335 4.968 7.108 6.802 6.247 5.759 5.328 7.722 7.360 6.710 6.145 5.650 8.306 7.887 7.139 6.495 5.938 8.863 8.384 7.536 6.814 6.194 9.394 8.853 7.904 7.103 6.424 9.899 9.295 8.244 7.367 6.628 10.380 9.712 8.559 7.606 6.811 12.462 11.470 9.818 8.514 7.469 14.094 12.783 10.675 9.077 7.843 15.372 13.765 11.258 9.4278.055 17.159 15.046 11.925 9.779 8.244 14% 16% 18% 0.877 0.862 0.847 1.6471.6051.566 2.322 2.246 2.174 2914 2.798 2.690 3.433 3.274 3.127 3.889 3.685 3.498 4.288 4.039 3.812 4.639 4.344 4.078 4.946 4.607 4.303 5.216 4.833 4.494 5.453 5.029 4.656 5.660 5.197 | 4.793 5.842 5.342 4.910 6.002 5.468 5.008 6.142 5.575 5.092 6.623 5.929 5.353 6.873 6.097 5.467 | 7.003 6.177 5.517 7.105 6.233 5.548 3.326 3.605 3.837 4.031 4.192 4.327 4.439 4.533 4.611 4.675 4.870 4.948 4.979 4.997 40 Periods 3% 1.000 2.030 3.091 4.184 5.309 1% 1.000 2.010 3.030 4.060 5.101 6.152 7.214 8.286 9.369 10.462 11.567 12.683 13.809 14.947 16.097 22.019 28.243 34.785 48.886 2% 1.000 2.020 3.060 4.122 5.204 6.308 7.434 8.583 9.755 10.950 12.169 13.412 14.680 15.974 17.293 24.297 32.030 40.568 60.402 6.468 7.662 8.892 10.159 11.464 4% 1.000 2.040 3.122 4.246 5.416 6.633 7.898 9.214 10.583 12.006 13.486 15.026 16.627 18.292 20.024 29.778 41.646 56.085 95.026 Future Value of Annuity of $1 5% 6% 8% 10% 1.000 1.000 1.000 1.000 2.050 2.060 2.080 2.100 3.153 3.184 3.246 3.310 4.310 4.375 4.506 4.641 5.526 5.637 5.867 6.105 6.802 6.975 7.336 7.716 8.142 8.394 8.923 9.487 9.549 9.897 10.637 11.436 11.027 11.491 12.488 13.579 12.578 13.181 14.487 15.937 14.207 14.972 16.645 18.531 15.917 16.870 18.977 21.384 17.713 18.882 21.495 24.523 19.599 21.015 24.215 27.975 21.579 23.276 27.152 31.772 33.066 36.786 45.762 57.275 47.727 54.865 73.106 98.347 66.439 79.058 113.283 164.494 | 120.800 154.762 259.057 442.593 12% 1.000 2.120 3.374 4.779 6.353 8.115 10.089 12.300 14.776 17.549 20.655 24.133 28.029 32.393 37.280 72.052 133.334 241.333 767.091 14% 1.000 2.140 3.440 4.921 6.610 8.536 10.730 13.233 16.085 19.337 23.045 27.271 32.089 37.581 43.842 91.025 181.871 356.787 1,342.025 16% 18% 20% 1.000 1.000 1.000 2.160 2.180 2.200 3.506 3.572 3.640 5.066 5.215 5.368 6.877 7.154 7.442 8.977 9.442 9.930 11.414 12.142 12.916 14.240 15.327 16.499 17.519 19.086 20.799 21.321 23.521 25.959 25.733 28.755 32.150 30.850 34.931 39.581 36.786 42.219 48.497 43.672 50.818 59.196 51.660 60.965 72.035 115.380 146.628 186.688 249.214 342.603 471.981 530.312790.948 | 1,181.882 2,360.757 4,163.213 7,343.858 12.808 14.192 15.618 17.086 18.599 26.870 36.459 47.575 75.401 Periods 16% 5% 1.050 1.103 4% 1.040 1.082 1.125 1.170 1.217 14% 1.140 1.300 1.482 1.689 1.925 1.158 1% 1.010 1.020 1.030 1.041 1.051 1.062 1.072 1.083 1.094 1.105 1.116 1.127 1.138 1.149 1.161 1.220 1.282 1.348 1.489 2% 1.020 1.040 1.061 1.082 1.104 1.126 1.149 1.172 1.195 1.219 1.243 1.268 1.294 1.319 1.346 3% 1.030 1.061 1.093 1.126 1.159 1.194 1.230 1.267 1.305 1.344 1.384 1.426 1.469 1.513 1.558 aina Future Value of $1 6% 8% 1.060 1.080 1.124 1.166 1.191 1.260 1.262 1.360 1.338 1.469 1.419 1.587 1.504 1.714 1.594 1.851 1.689 1.999 1.791 2.159 1.898 2.332 2.012 2.518 2.133 2.720 2.261 2.937 2.397 3.172 3.207 4.661 4.292 6.848 5.743 10.063 10.286 21.725 1.216 1.276 1.340 1.407 1.477 1.551 1.629 1.710 1.796 1.886 1.980 2.079 2.653 3.386 4.322 7.040 1.265 1.316 1.369 1.423 1.480 1.539 1.601 1.665 1.732 1.801 2.191 2.666 3.243 4.801 10% 1.100 1.210 1.331 1.464 1.611 1.772 1.949 2.144 2.358 2.594 2.853 3.138 3.452 3.797 4.177 6.727 10.835 17.449 45.259 12% 1.120 1.254 1.405 1.574 1.762 1.974 2.211 2.476 2.773 3.106 3.479 3.896 4.363 4.887 5.474 9.646 17.000 29.960 9 3.051 1.160 1.346 1.561 1.811 2.100 2.436 2.826 3.278 3.803 4.411 5.117 5.936 6.886 7.988 9.266 19.461 40.874 85.850 378.721 18% 1.180 1.392 1.643 1.939 2.288 2.700 3.185 3.759 4.435 5.234 6.176 7.288 8.599 10.147 11.974 27.393 62.669 143.371 750.378 + 20% 1.200 1.440 1.728 2.074 2.488 2.986 3.583 4.300 5.160 6.192 7.430 8.916 10.699 12.839 15.407 38.338 95.396 237.376 1,469.772 4.818 1.486 1.641 1.811 2.208 1.806 2.094 2.427 3.262 6.261 7.138 13.743 26.462 50.950 188.884 Print one