What is the PV of an annuity due with 5 payments of $5,700 at an interest rate of 6.1%? a. $23,945.30 b. $27,940.90 c. $25,405.96 d. $29,645.30 e. $19,705.96
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- What is the PV of an ordinary annuity with 5 payments of $3,900 if the appropriate interest rate is 4.9%? a. $20,455.50 b. $19,858.66 c. $16,931.74 d. $17,761.39 e. $13,861.39A.What is the PV of an annuity due with 5 payments of $4,200 at an interest rate of 5.5%? a. $16,651.03 b. $18,921.63 c. $21,570.66 d. $19,110.85 e. $22,138.31 B. What is the PV of an ordinary annuity with 5 payments of $8,500 if the appropriate interest rate is 4.5%? a. $38,434.25 b. $31,717.58 c. $37,314.80 d. $44,031.47 e. $29,851.84What is the PV of an annuity due with 5 payments of $4,500 at an interest rate of 5.5%? $20,921.92 $21,544.20 $20,527.81 $20,976.98 $20,273.18
- What is the PV of an ordinary annuity with 10 payments of $6,600 if the appropriate interest rate is 5.5%? Select the correct answer. a. $49,766.03 b. $49,754.23 c. $49,771.93 d. $49,760.13 e. $49,748.33What is the PV of an ordinary annuity with 10 payments of $7,800 if the appropriate interest rate is 5.5%? Select the correct answer. a. $58,823.08 Ob. $58,815.68 $58,793.48 d. $58,808.28 e. $58,800.88What is the present value of an ordinary annuity that pays $1,000 per year for 4 years, assuming the annual discount rate is 7 percent? a. $3,051.58 b. $762.90 c. $3,624.32 d. $3,738.32 e. $3,387.21
- What is the PV of an ordinary annuity with 10 payments of $2,700 if the appropriate interest rate is 5.5%? $16,576 $17,449 $18,367 $19,334 $20,3526. Present Value of an Annuity The table below contains information on four different annuities. a) Calculate the present value of each annuity if it is i) An ordinary annuity ii) An annuity due b) Compare your findings. All else being identical, which type of annuity-ordinary annuity or annuity due-is preferable? Why? Part Annual CF Interest Rate Deposit Period A $12,000 B $52,000 C $20,000 D $24,000 8% 10% 6% 12% (Years) 8 15 20 8What is the PV of an ordinary annuity with 5 payments of $4,700 if the appropriate interest rate is 4.5%? Group of answer choices $16,806 $17,690 $18,621 $19,601 $20,633
- An annuity pays $13 per year for 42 years. What is the future value (FV) of this annuity at the end of that 42 years given that the discount rate is 4%? OA. $817.59 B. $1,635.18 OC. $1,362.65 D. $1,907.71 ...Present value of an annuity Consider the following cases. Case ◄AUA- E Amount of annuity $ 12.000 55.000 700 140.000 22.500 Interest rate 12 20 5 10 Period (years) a. Calculate the present value of the annuity assuming that it is (1) An ordinary annuity, mu 9 7 b. Compare your findings in parts al 1) and a(2). All else being identical, which of annuity-ordinary or annuity due-is preferable? Explain why. Personal Finance Problem Tume value-Annuities - Marian Kirk wishes to select the better of two 10-year annuines, C and D. Annuity C is an ordinary annuity of $2,500 per year for 10 years. Annuity D is an annuity due of $2,200 per year for 10 years. delen future value of both annuities at the end of year 10, assuming thatHow much will be the future value of a 5-year ordinary annuity which has annual payments of $200, evaluated at a 7.5% semi-annual interest rate? a. $3,828.34 b. $287.13 c. $1,161.68 d. $1,348.48