In an attempt to have funds for a down payment, Jan Carlson plans to save $3,300...

Question

Question

In an attempt to have funds for a down payment, Jan Carlson plans to save $3,300 a year for the next five years. With an inte

Answer 1

Answer #1

Future value of annuity= payment per period * [(1+i)^n-1]/i

i = interest rate per period

n = number of periods

=>

Future value = 3300 * [(1+0.08)^5 - 1]/0.08

= 19359.78

Answer 2

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