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[The following information applies to the question displayed below.] Mary Kate, Ashley, Dakota, and Elle each want to buy a new home. Each needs to

[The following information applies to the question displayed below.] Mary Kate, Ashley, Dakota, and Elle each want to buy a new home. Each needs to save enough to make a 20% down payment. For example, to buy a $100,000 home, a person would need to save $20,000. At the end of each year for five years, the women make the following investments:

Person Annuity Payment Type of Account Expected Annual Return
Mary Kate $ 2,500 Savings 3 %
Ashley 3,500 CDs 5
Dakota 4,500 Bonds 6
Elle 4,500 Stocks 12

Required:

1. Calculate how much each woman is expected to accumulate in the investment account by the end of the fifth year. (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided. Round your answers to 2 decimal places.)

Person five-year Accumulated Investment
Mary Kate
Ashley
Dakota
Elle

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