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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:$ Second birthday:$ Third birthday:$ Fourth birthday:$ Fifth birthday:$ Sixth birthday:$ After the childs sixth birthday, no more payments are made. When the child reaches age he or she receives $ If the relevant interest rate is percent for the first six years and percent for all subsequent years, what is the value of the policy at the child's th birthday?t $ today, the bank will pay you an annual interest rate of percent for years, percent for years, and percent for years. How much will you have in your account in years?
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