Juan purchases an annuity for $3720 that will make 20 annual payments, the first to come in one year. If the effective rate of interest is 10.9%, how much is each annual payment? Payment = $
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![Juan purchases an annuity for $3720 that will make 20 annual payments, the first to come in one year. If the effective rate of interest is 10.9%, how much
is each annual payment?
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- You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuity(1 point) Juan purchases an annuity for $3100 that will make 21 annual payments, the first to come in one year. If the effective rate of interest is 9.9%, how much is each annual payment? Payment = $Jean-Rene wants to make a lump-sum deposit today such that at the end of every three months for the next five years he can receive a payment starting at $2,500 and increasing by 1% each time thereafter. At the end of the term, an additional lump-sum payment of $10,000 is required. If the annuity can earn 8.75% compounded semi-annually, what lump sum should he deposit today? Using financial Calculator.
- Karen deposits 300 each month into an annuity that pays 8% annual interest at the end of each year. How much money will she have in this account at the end of 4 years? (Future value of annuity due)Leanne Simon made ordinary annuity payments of $100.00 per month for 15 years earning 4.5% compounded monthly. How much interest is included in the future value of the annuity? Include all the steps.Bill Jones plans to deposit $2100 at the end of every 6 months for the next 20 years into an annuity that pays 6%. What will be the value of Bill's annuity at maturity?
- Khalil has decided to start an ordinary annuity.he plans to deposit $500 into this account each month at 2.4 % annual interest compounded monthly. How much will he have in this account in 20 years?You purchase a $10, 000 annuity with payments at the end of each year for 30 years and an effective interest rate i = .04. The annuity pays $500 at the end of each year and an additional $X at the beginning of years 6 through 12. Find X.Roger Baker has accumulated $775,000 in his RRSP and is going to purchase a 20-year annuity from which he will receive month-end payments. The money used to purchase the annuity will earn 3.8% compounded monthly. If payments grow by 2% compounded monthly, what will be the initial payment?
- You purchase an ordinary annuity with 4% interest and will receive regular quarterly payments of $4500 for 10 years. What is the present value of the annuity?The Martinez family wants to save money to travel the world. They purchase an annuity with a monthly payment of $38 that earns 4.6% interest, compounded monthly. Payments will be made at the end of each month. Find the total value of the annuity in 14 years.Cheryl is setting up a payout annuity with her bank. She wants to receive a payout of $1200 per month for 20 years. A. How much will she have to deposit if she earns 8% interest compounde monthly? B. What's the total she will receive from her payout annuity?
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