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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 $2,180 per
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 $2,180 per year for 9 years. Annuity 2 is an annuity due of $2,110 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) 3% annual interest and (2) 6% 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) 3% and (2) 6% interest rates. C. Find the present value of both annuities, assuming that Marian can earn (1) 3% annual interest and (2) 6% annual interest. d. Use your findings in part c to indicate which annuity has the greater present value for both the (1) 3% and (2) 6% interest rates. e. Briefly compare, contrast, and explain any differences between your findings using the 3% and 6% interest rates in parts b and d
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