14. Annuity A pays X at the end of each year. The first payment occurs at time 6 years, and the last payment occurs at time 10 years. Annuity B pays $81.06 at the end of each year. The first payment occurs at time 1 year, and the last payment occurs at time 5 years. The current value of annuity B at the end of five years is $475.54. The present value at time 0 of annuity A is twice the present value at time 0 of annuity B. Determine X. E 387 A 238 D 350 C 313 B 275

14. Annuity A pays X at the end of each year. The first payment occurs at time 6 years, and the last payment occurs at time 10 years. Annuity B pays $81.06 at the end of each year. The first payment occurs at time 1 year, and the last payment occurs at time 5 years. The current value of annuity B at the end of five years is $475.54. The present value at time 0 of annuity A is twice the present value at time 0 of annuity B. Determine X. E 387 A 238 D 350 C 313 B 275

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 24P

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