ZuoTi.Pro
Question

What is the future value of an $1,140 annuity paid each year for 5 years at...

What is the future value of an $1,140 annuity paid each year for 5 years at a 7 percent rate of interest?

a. $9,072.65

b. $8,790.65

c. $6,555.84

d. $3,352.20

e. $6,099.00

Thank you!!!

business   finance   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Future value of annuity=Annuity[(1+rate)^time period-1]/rate

=$1140[(1.07)^5-1]/0.07

=$1140*5.75073901

=$6555.84(Approx).

0 0
Add a comment
Know the answer?
Add Answer to:
What is the future value of an $1,140 annuity paid each year for 5 years at...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • 1.Future Value: Ordinary Annuity versus Annuity Due What is the future value of a 3%, 5-year...

    1.Future Value: Ordinary Annuity versus Annuity Due What is the future value of a 3%, 5-year ordinary annuity that pays $250 each year? Round your answer to the nearest cent. $   If this were an annuity due, what would its future value be? Round your answer to the nearest cent. $   2. Present and Future Value of an Uneven Cash Flow Stream An investment will pay $100 at the end of each of the next 3 years, $400 at the...

  • The future value of a​ $10,000 annuity deposited at 12 percent compounded annually for each of...

    The future value of a​ $10,000 annuity deposited at 12 percent compounded annually for each of next 5 years​ is: ​ (Round to the nearest whole​ dollar) A. ​$40,376     B. ​$63,528 C. ​$71,154    D. ​$36,050    The future value of an ordinary annuity of​ $1,000 each year for 10​ years, deposited at 3​ percent, is:​ (Round to the nearest whole​ dollar) A. ​$8,530    B. ​$11,464    C. ​$11,808     D. ​$10,000 Peter will receive​ $1,200 at the beginning of each of the next...

  • a) What is the future value of a 5-year ordinary annuity with annual payments of $273,...

    a) What is the future value of a 5-year ordinary annuity with annual payments of $273, evaluated at a 7 percent interest rate? (Do not include the dollar sign ($), and round your answer to 2 decimal places: for example, 536.34) b) What is the present value of a 8-year ordinary annuity with annual payments of $584, evaluated at a 8 percent interest rate? Round your answer to 2 decimal places; for example 2345.25.

  • What is the future value of $500 paid at the end of each quarter (i.e. every...

    What is the future value of $500 paid at the end of each quarter (i.e. every three months) for the next 5 years if the interest rate is 7% per year, compounded quarterly? The future value of the annuity is $. (Round to the nearest dollar.)

  • 7. What is the future value of a 25-year ordinary annuity with annual payments of $6,000,...

    7. What is the future value of a 25-year ordinary annuity with annual payments of $6,000, evaluated at a 10 percent interest rate? (Annuity, saving for your retirement) 8. Prepare the loan amortization schedule ($15) You borrow $1,000, and the loan is to be repaid in three equal payments at the end of cach of the next three years. The lender charges a 6 percent interest rate on the loan balance that is outstanding at the beginning of each year....

  • What is the future value of an 8 year ordinary annuity with an annual payment of...

    What is the future value of an 8 year ordinary annuity with an annual payment of $600 if the interest rate is 13.5%?          What is the present value of a 17 year ordinary annuity with an annual payment of $216,000 if the opportunity cost rate is 15.2%?          An ordinary annuity pays $16,375 per year for 9 years. If you pay $100,000 for this annuity now, what rate of return (interest rate) will you earn?          A 22 year...

  • Future Value Compute the future value in year 8 of a $350 deposit in year 3...

    Future Value Compute the future value in year 8 of a $350 deposit in year 3 and another $150 deposit at the end of year 5 using a 10% interest rate. Future Value of an Annuity What is the future value of a $1,700 annuity payment over 10 years if the interest rates are 9 percent? Present Value of a Perpetuity What's the present value, when interest rates are 6.80 percent, of a $130 payment made every year forever? Future...

  • (Calculating the future value of an ordinary annuity) Calculate the future value of each of the...

    (Calculating the future value of an ordinary annuity) Calculate the future value of each of the following streams of payments. a. £430 a year for 12 years compounded annually at 6 percent. b. €56 a year for 8 years compounded annually at 8 percent. c. $75 a year for 5 years compounded annually at 3 percent. d. £120 a year for 3 years compounded annually at 10 percent.

  • Find the future value of an annuity due of $2,000 paid at the beginning of each...

    Find the future value of an annuity due of $2,000 paid at the beginning of each 6-month period for 6 years if the Interest rate is 6%, compounded semiannually (Round your answer to the nearest cent. $ Need Help? Talk to a A house is rented for $6,600 per quarter, with each rent payable due at the beginning of each quarter of money is worth 5%, compounded quarterly, and the rent is deposited in an account, what is the future...

  • 6-1. (Calculating the future value of an ordinary annuity) Calculate the future value of each of...

    6-1. (Calculating the future value of an ordinary annuity) Calculate the future value of each of the following streams of payments. a. £430 a year for 12 years compounded annually at 6 percent. b. €56 a year for 8 years compounded annually at 8 percent. e. $75 a year for 5 years compounded annually at 3 percent. d. £120 a year for 3 years compounded annually at 10 percent.

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT