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ILLIS UT Changng til payment and compound CACY OE ALT URULLA y anunty. 16 a) Use the TVM Solver to complete the following chart. b)
ILLIS UT Changng til payment and compound CACY OE ALT URULLA y anunty. 16 a) Use the TVM Solver to complete the following chart. b) Summarize the effect of changing the payment frequency on the future value of an annuity when all other conditions remain the same. /1 Payment Amount Payment Frequency Compounding Frequency Number of Payments Interest Rate (per annum Future Valne of Annuity $1200 10 9% $600 20 9% $300 40 Annually Semi-Annually Quarterly Monthly Weekly Daily 9% $100 Annually Semi-Annually Quarterly Monthly Weekly Daily 120 9% $23.08 9% $3.29 520 3650 9% 2. Investigate the effects of changing the interest rate of an ordinary annuity. 16 a) Use the TVM Solver to complete the following chart b) Summarize the effect of changing the interest rate of an annuity when all other conditions remain the same. /1 Payment Amount Payment Frequency Compounding Frequency Number of Payments Interest Rate (per annum) Future Value of Annuity $50 520 2% $50 520 4% $50 520 6% Weekly Weekly Weekly Weekly Weekly Weekly Weekly Weekly Weekly Weekly Weekly Weekly $50 520 8% $50 520 10% 12% $50 520
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