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please solve all X P5-21 (similar to) Question Help Time value Annuities Personal Finance Problem Marian Kirk wishes to select the better of two 9-year
please solve all
X P5-21 (similar to) Question Help Time value Annuities Personal Finance Problem Marian Kirk wishes to select the better of two 9-year annuities Annuity 1 is an ordinary annuity of $2,260 per year for 9 years. Annuity 2 is an annuity due of $2,150 per year for 9 years a. Find the future value of both annuities at the end of year 9, assuming that Marian can earn (1) 4% annual interest and (2) 8% annual interest. b. Use your findings in part a to indicate which annuity has the greater future value at the end of year 9 for both the (1) 4% and (2) 8% interest rates c. Find the present value of both annuities, assuming that Marian can earn (1) 4% annual interest and (2) 8% annual interest. d. Use your findings in part c to indicate which annuity has the greater present value for both the (1) 4% and (2) 8% interest rates e. Briefly compare, contrast, and explain any differences between your findings using the 4% and 8% interest rates in parts b and d a. The future value of Annuity 1 at 4% interest is $ (Round to the nearest cent)Step by Step Solution
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