Each paymient of an annuity due is descouated for one PVANe=PMT[1(6+02] by (2+1). The equation is: period, so the present value of an annuity due is equal to the present value of an orsinary aneuity multiplied. PVAlow=PVAarlisky(1+1) One can solve for payments (PMT), periods (N), and interest rates (t) for annuties. The easiest way to solve for these variables is with a financiel caloulator or a soreadsheee. Quantitative Problem it You plan to deposit 51,500 per year for 6 years into a money market actount with an annual return of 2%. You plan to make your fint depose one year from today. a. What amount will be in your account at the end of 6 years? Do not round intermediate calculations. Round your antwer to the nearest cent. 5. b. Assume that your deposits will begin today. What amount will be in your account after 6 years? Do not round intermediate calculations. Pound your answer to the nearest cent. 5 Quantitative Problem 2: You and your wife are making plans for retirement. You plan on living 30 years after you retice and would like to have 580,600 annualiy on which to live. Your first withdrawal will be made one year after you retire and you anticipate that your retirement account will eam 1240 annually. a. What ambunt do you need in your retirement account the day you retire? Do not round intermediate calculations. Round your answer te the bearest cent. 5 b. Assume that your fist withdrawal will be made the day you retire. Under this astumptien, ahat amount de you now need in your rebirement account the doy you. retire? Do not round intermediste calculations, Round your answer to the nearest cent. s