Betty Adams invested 3,000 pesos four times a year in an annuity due at Hicks and Marston Investments for a period of 3 years at an interest rate of 8% compounded quarterly. Using the ordinary annuity table, calculate the total value of the annuity due at the end of the 3-year period.

Betty Adams invested 3,000 pesos four times a year in an annuity due at Hicks and Marston Investments for a period of 3 years at an interest rate of 8% compounded quarterly. Using the ordinary annuity table, calculate the total value of the annuity due at the end of the 3-year period.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

Betty Adams invested 3,000 pesos four
times a year in an annuity due at Hicks and
Marston Investments for a period of 3
years at an
interest rate
of 8%
compounded quarterly. Using the ordinary
annuity table, calculate the total value of
the annuity due at the end of the 3-year
period.

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