Question
Susan receives annual payments from a 20-year annuity-immediate. The payment in year 1 is 100 and in each succeeding year the payment is 90% of
Susan receives annual payments from a 20-year annuity-immediate. The payment in year 1 is 100 and in each succeeding year the payment is 90% of the prior years payment. Upon receipt of each payment, Susan invests the payment in a savings account earning interest at a 3% annual effective rate. Calculate the balance in the savings account immediately after Susan invests the last annuity payment. (A) 696 (B) 717 (C) 739 (D) 1296 (E) 1335
Susan receives annual payments from a 20-year annuity-immediate. The payment in year 1 is 100 and in each succeeding year the payment is 90% of the prior year's payment. Upon receipt of each payment, Susan invests the payment in a savings account earning interest at a 3% annual effective rate. Calculate the balance in the savings account immediately after Susan invests the last annuity payment. (A) 696 (B) 717 (C) 739 (D) 1296 (E) 1335
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How To Analyse Bank Financial Statements
Authors: Thomas Padberg
1st Edition
0857195182, 978-0857195180
