Question
consider a sixcashflow annuity, with the first $1000 cash flow occurring twelve years from now and the sixth $1000 cash flow occurring at t =
consider a sixcashflow annuity, with the first $1000 cash flow occurring twelve years from now and the sixth $1000 cash flow occurring at t = 17 years.
(1) Specifically using six singlesum (singlecashflow) equations and a discount rate of 5%/year, calculate the value of this annuity eleven years from now (i.e., at t = 11).
(2) Specifically using a PVofannuity equation and a discount rate of 5%/year, calculate the value of this same annuity eleven years from now.
(3) Specifically using nothing but Excels prepackaged PV function and a discount rate of 5%/year, calculate the value of this same annuity eleven years from now.
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