An annuity in perpetuity with effective annual interest rate i > 0 has present value $1, 000. Find i if the annuity pays $52.50 at the end of every 6 month period, with the first payment at the the end of year.
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- Value of an Annuity Using the appropriate tables, solve each of the following. Required: 1. Beginning December 31, 2020, 5 equal withdrawals are to be made. Determine the equal annual withdrawals if 30,000 is invested at 10% interest compounded annually on December 31, 2019. 2. Ten payments of 3,000 are due at annual intervals beginning June 30, 2020. What amount will be accepted in cancellation of this series of payments on June 30, 2019, assuming a discount rate of 14% compounded annually? 3. Ten payments of 2,000 are due at annual intervals beginning December 31, 2019. What amount will be accepted in cancellation of this series of payments on January 1, 2019, assuming a discount rate of 12% compounded annually?Present Value of an Annuity Ralph Benke wants to make 8 equal semiannual withdrawals of 8,000 from a fund that will earn interest at 11 % compounded semiannually. Required: How much would Ralph have to invest on: 1. January 1, 2019, if the first withdrawal is made on July 1, 2019 2. July 1, 2019, if the first withdrawal is made on July 1, 2019 3. January 1, 2019, if the first withdrawal is made on January 1, 2022II. Table Completion. Find the indicated value from the following ordinary annuity. Write your answer on the table. i Соmpounded Semiannually Quarterly Monthly Annually Quarterly Monthly Annually Semiannually Quarterly Monthly An R J 5 years 2,000 3, 578 7, 500 10% 11% 21 months 9% 15 months 10 years 3 years 60 months 970. 50 5% 10, 288.29 1.25% 0.25% 226, 263.49 53, 279. 32 6. 7% 4 8. 7, 136.39 8.5% 42 months 9. 10, 000 9 years 4% 10 9, 032. 70 1% 30 1234507
- a. Use the appropriate formula to find the value of the annuity b.how much of the financial goal comes from deposit and how much comes from interest? periodic deposit-$? at the end of the month Rate-5% compounded monthly Time-16 years Financial goal-$140,000Find the amount accumulated FV in the given annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest cent.) $200 is deposited monthly for 10 years at 6% per year in an account containing $9,000 at the start FV = $ 49150 Need Help? Read It Watch It Submit AnswerFind the amount accumulated FV in the given annuity account. (Assume end-of-period deposits and compounding at the same intervals as deposits. Round your answer to the nearest cent.) $2,200 is deposited quarterly for 20 years at 3% per year FV = $ Need Help? Read It Watch It Submit Answer
- Give typing answer with explanation and conclusion Determine the periodic payment for the following deferred annuity. The annuity is an ordinary annuity following the period of deferral. Deferral period Payment interval (months) Interest rate (%) Compounding frequency Term (years) Present value ($) 27 months 1 6.4 Quarterly 20 50,000.00Find the future value of an annuity in 12 years if you deposit $105 at the end of each compounding period into an account paying 1.50% compounded semiannually. $ 2749.79 O $5510.80 O $496976.44 O $2709.71Give typing answer with explanation and conclusion to all parts If $387674 is used to purchase an annuity earning 5.5% compounded monthly and paying $3102 at the end of each month, what will be the term of the annuity? Include the final, smaller annuity payment in the total. (Just state total months as a number, not years and months) What is N? What is I/Y? What is C/Y? What is P/Y? What is PV? What is PMT? What is FV?
- Complete the ordinary annuity. (Please use the following provided Table.) Note: Do not round intermediate calculations. Amount of payment Payment payable Years Interest rate Value of annuity $ 5,000 Annually 11 4 %An annuity pays an amount of $86.00 each period for 9 periods, and the present value is $666.00. What is the discount rate/period of this annuity kindly use formulaAn annuity in perpetuity with effective annual interest rate i > 0 has present value $1, 000. Find i if the annuity pays $52.50 at the end of every 6 month period, with the first payment at the end of the first year.