TABLE 13-1 Ordinary annuity table: Compound sum of an annuity of $1Period 2%5%7%8%1.00001.00001.00001.00001.00001 1.00001.00002.03002.12002.13002 2.02003.37443.40693 3.0604 3.09094.77934.84986.35286.48038.322771.0000 1.0000 1.0000 1.0000 1.00002.0400 2.0500 2.0600 2.0700 2.0800 2.0900 2.1000 2.11003.1216 3.1525 3.18363.21493.24643.2781 3.3100 3.34214 4.1216 4.1836 4.2465 4.3101 4.3746 4.4399 4.5061 4.5731 4.6410 4.70975 5.2040 5.3091 5.4163 5.5256 5.6371 5.7507 5.8666 5.9847 6.1051 6.22786 6.3081 6.4684 6.6330 6.8019 6.9753 7.1533 7.3359 7.5233 7.7156 7.9129 8.11527.4343 7.6625 7.89838.1420 8.3938 8.6540 8.9228 9.2004 9.4872 9.7833 10.0890 10.40478 8.5829 8.8923 9.2142 9.5491 9.8975 10.2598 10.6366 11.0285 11.4359 11.8594 12.2997 12.75739 9.7546 10.1591 10.5828 11.0265 11.4913 11.9780 12.4876 13.0210 13.5795 14.1640 14.7757 15.415710 10.9497 11.4639 12.0061 12.5779 13.1808 13.8164 14.4866 15.1929 15.9374 16.7220 17.5487 18.419711 12.1687 12.8078 13.4863 14.2068 14.9716 15.7836 16.6455 17.5603 18.5312 19.5614 20.6546 21.814312 13.4120 14.1920 15.0258 15.9171 16.8699 17.8884 18.9771 20.1407 21.3843 22.7132 24.1331 25.650213 14.6803 15.6178 16.6268 17.7129 18.8821 20.1406 21.4953 22.9534 24.5227 26.2116 28.0291 29.984714 15.9739 17.0863 18.2919 19.5986 21.0150 22.5505 24.2149 26.0192 27.9750 30.0949 32.3926 34.882715 17.2934 18.5989 20.0236 21.5785 23.2759 25.1290 27.1521 29.3609 31.7725 34.4054 37.2797 40.417416 18.6392 20.1569 21.8245 23.6574 25.6725 27.8880 30.3243 33.003435.9497 39.1899 42.7533 46.67 1717 20.0120 21.7616 23.6975 25.8403 28.2128 30.8402 33.7503 36.9737 40.5447 44.5008 48.8837 53.739018 21.4122 23.4144 25.6454 28.1323 30.9056 33.9990 37.4503 41.3014 45.5992 50.3959 55.7497 61.725119 22.8405 25.1169 27.67 12 30.5389 33.7599 37.3789 41.4463 46.0185 51.1591 56.9395 63.4397 70.749420 24.2973 26.8704 29.778133.0659 36.7855 40.9954 45.7620 51.1602 57.2750 64.2028 72.0524 80.946825 32.0302 36.4593 41.6459 47.7270 54.8644 63.2489 73.1060 84.7010 98.3471 114.4133 133.3338 155.619430 40.5679 47.5754 56.0849 66.4386 79.0580 94.4606 113.2833 136.3077 164.4941 199.0209 241.3327 293.198940 60.4017 75.4012 95.0254 120.7993 154.7616 199.6346 259.0569 337.8831 442.5928 581.8260 767.0913 1013.703050 84.5790 112.7968 152.6669 209.3470 290.3351 406.5277 573.7711 815.0853 1163.9090 1668.77 10 2400.0180 3459.5010Note: This is only a sampling of tables available. The Business Math Handbook shows tables from % to 15%.John's annuity3%4%6%9%10%11%12%13%John Regan, an employee at Home Depot, made deposits of $790 at the end of each year for 6 years. Interest is 6%compounded annually. What is the value of John's annuity at the end of 6 years? (Use Table 13.1.) (Do not roundintermediate calculations. Round your answer to the nearest cent.)

The concept of time value of money will be used here. To compute the future value of a cash flow…

John Regan, an employee at Home Depot, made deposits of $790 at the end of each year for 6 years. Interest is 6% compounded annually. What is the value of John's annuity at the end of 6 years? (Use Table 13.1.) (Do not round intermediate calculations. Round your answer to the nearest cent.) John's annuity

John Regan, an employee at Home Depot, made deposits of $790 at the end of each year for 6 years. Interest is 6% compounded annually. What is the value of John's annuity at the end of 6 years? (Use Table 13.1.) (Do not round intermediate calculations. Round your answer to the nearest cent.) John's annuity

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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Mr. Peabody drove to his bank and deposited $500 at the end of every three months for 15.6 years. What is the accumulated value of Mr. Peabody's annuity at 4.95% compounded semi-annually?
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Li Jun purchased an annuity that had an interest rate of 3.75% compounded semi- annually. It provided her with payments of $2,000 at the end of every month for 3 years. If the first withdrawal is to be made in 4 years and 1 month, how much did she pay for it? $0.00 Round to the nearest cent
Mr. Espinoza's debt of P160,000 is amortized by making equal payments at the end of every three months for six years with 4.3% interest rate compounded quarterly. How much is the quarterly payment? Construct an amortization schedule. How much will Mr. Espinoza pay after the term? Do you think that the total amount paid is fair given the total interest and the term of the annuity? Why or why not? Explain in your own words.
a personal account earmarked as a retirement supplement contains 242,400. suppose 200,000 is used to establish an annuity that earns 6% compounded quarterly and pays 4,500 at the end of each quarter. How long until the account balance is zero?
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Hank made payments of $106 per month at the end of each month for 30 years to purchase a piece of property. He promptly sold it for $99,810. What annual interest rate would he need to earn on an ordinary annuity for a comparable rate of return? ◻️٪؜ (Round to the nearest hundredth as needed.)
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In 2012 the maximum Social Security deposit by an individual was $8,386.75. Suppose you are 29 and make a deposit of this amount into an account at the end of each year. How much would you have (to the nearest dollar) when you retire if the account pays 3% compounded annually and you retire at age 65?$

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