When payments are made at the end of each period, you can treat them asan annuity due .

You are planning to put $1,500 in the bank at the end of each year for the next four years in hopes that you will have enough money for a down payment on a condo. If you are investing at an annual interest rate of 5%, how much money will you have at the end of four yearsrounded to the nearest whole dollar?

$7,758

$5,172

$6,465

$6,788

Youve decided to deposit your money in the bank at the beginning of the year instead of the end of the year, but now you are making payments of $1,500 at an annual interest rate of 5%. How much money will you have available at the end of four yearsrounded to the nearest whole dollar?

$9,503

$4,752

$6,465

$6,788