ind the amount acCumulated AV in the given annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest ten dollars. $500 deposited monthly for 11 years at 4% per year
ind the amount acCumulated AV in the given annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest ten dollars. $500 deposited monthly for 11 years at 4% per year
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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![ind the amount acCumulated AV in the given annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest ten dollars.
$500 deposited monthly for 11 years at 4% per year](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F79e57ad1-247a-402b-85df-bf923380c52a%2Fbc2d4f6a-3187-4d2c-9fca-18f5a90e2b0a%2Fd53w9ur.jpeg&w=3840&q=75)
Transcribed Image Text:ind the amount acCumulated AV in the given annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest ten dollars.
$500 deposited monthly for 11 years at 4% per year
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
Step 1: Future value calculation
Monthly deposits =$500
Interest =4%
Monthly interest = 0.04/12 =0.33%
Time =11 years
Monthly period =11*12 =132
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