Chapter $11($Exercise$)i$

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$10$ points

This problem demonstrates the dependence of an annuity's present value on the size of the periodic payment. Calculate the present value of $25$ end$-$of$-$year payments of: $($Do not round intermediate calculations and round your final answers to $2$ decimal places.$)$

a$.$ $$1,000$

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b$.$ $$2,000$

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c$.$ $$3,000$

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Use a discount rate of $5\%$ compounded annually. After completing the calculations, note that the present value is proportional to the size of the periodic payment.