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I need help with is annuity please. Suppose you just bought a 9-year annuity of $15, 900 per year at the current interest rate of
I need help with is annuity please.
Suppose you just bought a 9-year annuity of $15, 900 per year at the current interest rate of 12.25 percent per year. What is the value of the investment at the current interest rate of 12.25 percent? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Value of investment $ _ What happens to the value of your investment if interest rates suddenly drop to 7.25 percent? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Value of investment $ _ What happens to the value of your investment if interest rates suddenly rise to 17.25 percent? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Value of investmentStep by Step Solution
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