You are given an annuity-immediate paying 14 for 14 years, then increasing by one per year for 8 years and then the remaining payment stay level as the last payment, forever. The annual effective rate of interest is 7.3%. Calculate the present value of this annuity.
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- 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?Find the future value of an ordinary annuity of $700 paid at the end of each year for 6 years, if interest is earned at a rate of 5%, compounded annual. What is the future value?A certain annuity pays 80.00 at the end of every 3 months. If the present value of the annuity is 1,200.00 and the accumulated amount is 2,000.00, determine the nominal rate?
- Calculate the present value of annuity with 30 annual payments which pays an initial payment of $1,733.35 at the end of 5 years. Each subsequent annual payment is 4% larger than the previous payment. Assume the effective annual interest rate is 0.065. Give your answer to the nearest dollar.What is the value of a 30-year annuity that pays $2500 a year? The annuity’s first payment will be received on year 11. Also, assume that the annual interest rate is 4 percent for years 1 through 10 and 5 percent hereafter.What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000 with the final payment? Use a nominal rate of 7.23%.
- For an ordinary annuity with a five annual payments of $100 and a 10% interest rate, how many years will the first payment earn interest?An annuity provides for 12 annual payments. The first payment is $100. paid at the end of the first year, and each subsequent payment is 5.0% more than the once preceding it. Calculate the present value of this annuity if i= 7.0%.The present value of an annuity is payable annually for 2 years, with the first payment at the end of 10 years is 42,114. If money is worth 3.6%. what is the value of annuity?
- What amount will be paid at the beginning of every month for 10 years if the present value is 200, 000 and the interest is paid at 6% monthly? Question: What type of Annuity is indicated in the problem above? Annuity dueYou have been offered a 7-year annunity of $2,000 beginning four years from now. If the discount rate is 8%, what is the value of the annuity todayFind the future value of the following ordinary annuity. Payments are made and interest is compounded as given. R = $1,000, 5% interest compounded monthly for 6 years What is the future value of the ordinary annuity? (Round to the nearest dollar as needed.)