(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 = $
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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 annuityYou 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.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 = $
- Suppose you borrowed $400 from a friend and promised to repay the loan by making three annual payments at the end of each of the next three years plus a final payment of $200 at the end of year 4. The interest rate is 9%. What is the annuity amount?11) Max purchases a lot for $300,000. Max will pay $25,000 dollars at the end of each year. the interest rate is 4% compounded annually, how many full payments must be made? a) what will be the size of the payment one year after the last full payment?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.
- Assume that you make monthly payments of $ 675 into an ordinary annuity paying 6% compounded monthly. How much will be in the account after 12 years? Amount =Assume that you make monthly payments of $ 625 into an ordinary annuity paying 4% compounded monthly. How much will be in the account after 10 years?An annuity offers $1,000 for 10 years. If you can earn 12 percent annually on your funds, what is the maximum amount you should pay for this annuity?
- A relative wills you an annuity paying $1000 per quarter for the next 4 years. If money is worth 12% compounded quarterly, what is the present value of this annuity? Round your answer to two digits!Suppose an annuity will pay $11,000 at the beginning of each year for the next 7 years. How much money is needed to start this annuity if it earns 7.7%, compounded annually? (Round your answer to the nearest cent.)$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.