Chapter $4$ Assignment

$7.$ Calculate annuity cash flows

Your goal is to have $$10,000$ in your bank account by the end of twelve years. If the interest rate remains constant at $9\%$ and you want to make annual identical deposits, what amount will you have to deposit into your account at the end of each year to reach your goal?

$$446\mathrm{.}86$

$$496\mathrm{.}51$

$$347\mathrm{.}56$

$$595\mathrm{.}81$

If your deposits were made at the beginning of each year rather than an at the end, what is the amount your deposit would change by if you still wanted to reach your financial goal by the end of twelve years?

$$41\mathrm{.}00$

$$34\mathrm{.}85$

$$55\mathrm{.}35$

$$38\mathrm{.}95,$