eBook Future Value of an Annuity for Various Compounding Periods Find the future values of the following ordinary annuities. a PV of $800 each 6 months for 6 years at a nominal rate of 8%, compounded semiannually. Do not round intermediate calculations. Round your answer to the nearest cent. $ 7371.38 b. PV of $400 each 3 months for 6 years at a nominal rate of 8%, compounded quarterly. Do not round intermediate calculations. Round your answer to the nearest cent. $ C. The annuities described in parts a and b have the same amount of money paid into them during the 6-year period, and both earn interest at the same nominal rate, yet the annuity in part b earns more than the one in part a over the 6 years. Why does this occur? The annuity in part (b) is compounded more frequently; therefore, more interest is earned on interest. Hide Feedback Partially Corrent