You have carefully examined your budget and determined that you can manage to set aside $250 per year So you set up an annuity due of $250 annually at 7 annual interest How much will you have contributed after 20 years What is the future value of your annuity after 20 years How much interest will y...

To conclude I can say that the your c ...

You have carefully examined your budget and determined that you can manage to set aside $250 per

Question:

You have carefully examined your budget and determined that you can manage to set aside $250 per year. So you set up an due of $250 annually at 7% annual interest. How much will you have contributed after 20 years? What is the of your after 20 years? How much interest will you earn?
Annuity
An annuity is a series of equal payment made at equal intervals during a period of time. In other words annuity is a contract between insurer and insurance company in which insurer make a lump-sum payment or a series of payment and, in return,... Future Value
Future value (FV) is the value of a current asset at a future date based on an assumed rate of growth. The future value (FV) is important to investors and financial planners as they use it to estimate how much an investment made today will be worth...