9. An ordinary annuity with an opening balance of $6,000 receives quarterly deposits of $500 for...

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Question

Answer 1

Answer #1

The quarterly rate will be = 5/12% = 0.4166%. The future value equation will be written as:

FV = 6000 x 1.004166^120 + 500 x (1.004166^119 + 1.004166^118 +.... + 1.004166^48) = 61012.07

Answer 2

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