What is the future value of a 15-year ordinary annuity with annual payments of $2,000 if...

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What is the future value of a 15-year ordinary annuity with annual payments of $2,000 if the annual interest rate is 14%? (Choose the closest value)

Answer 1

Answer #1

[(1+r) -1 FV of Annuity = P P= Periodic Payment r=rate per period n = number of periods

$FV = 2000 * (1 + 0.14) 15-1 0.14$

FV = 2000 * 43.8424

FV = $87,684.83

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Answer 2

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