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Please answer the following on a financial calculator with given steps. You won a lottery! To collect your winnings you will be paid annual amounts
Please answer the following on a financial calculator with given steps.
You won a lottery! To collect your winnings you will be paid annual amounts of $10,300 for each of the next 22 years. The appropriate discount rate is 10 percent per year Calculate the difference in the present value if you are paid these annual amounts of money at the beginning of each year rather than at the end of each year. Jessica would like to buy an annuity. It will pay her back $24,000 a year for 25 years, starting today. The discount rate is 8.5 percent. What is the maximum she should be willing to pay for this annuity? You plan to deposit $5,400 at the end of each of the next 15 years into an account paying 11.3 percent interest a. How much will you have in your account if you make deposits for 15 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g. 32.16.) b. How much will you have if you make deposits for 30 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a. Future value of 15 deposits b. Future value of 30 deposits You are planning to make monthly deposits of $380 into a retirement account that pays 10 percent interest compounded monthly. If your first deposit will be made one month from now, how large will your retirement account be in 30 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Future valueStep by Step Solution
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