Compute the future value of a $100 annual annuity for the same combination of rates and time

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Compute the future value of a $100 annual annuity for the same combination of rates and time periods as in problem l.
a. r = 8%, t = 10 years
b. r = 8%, t = 20 years
c. r = 4%, t = 10 years
d. r = 4%, t = 20 years
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...
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Fundamentals of Corporate Finance

ISBN: 978-1259024962

6th Canadian edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus, Devashis Mitra, Elizabeth Maynes, William Lim

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