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You Save Bank has a unique account. If you deposn insurance company is offering a new policy to its customers. Typically, the policy is bought

You Save Bank has a unique account. If you deposn insurance company is offering a new policy to its customers. Typically, the policy is bought by a parent or grandparent for a child at the childs birth. The details of the policy are as follows: The purchaser (say, the parent) makes the following six payments to the insurance company: First birthday:$ 920 Second birthday:$ 920 Third birthday:$ 1,020 Fourth birthday:$ 1,020 Fifth birthday:$ 1,120 Sixth birthday:$ 1,120 After the childs sixth birthday, no more payments are made. When the child reaches age 65, he or she receives $430,000. If the relevant interest rate is 12 percent for the first six years and 7 percent for all subsequent years, what is the value of the policy at the child's 65th birthday?t $8,250 today, the bank will pay you an annual interest rate of 4 percent for 6 years, 4.6 percent for 5 years, and 5.3 percent for 9 years. How much will you have in your account in 20 years?

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