Diane wants to receive annuity payments of $2500 at the beginning of each quarter for eight years.

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Diane wants to receive annuity payments of $2500 at the beginning of each quarter for eight years. The annuity term is to start four years from now and interest is 6% compounded quarterly.

a) How much will Diane need to invest today?

b) How much will Diane receive in total from the annuity?

c) How much of what Diane receives will be interest?

Related Book For answer-question

Contemporary Business Mathematics with Canadian Applications

ISBN: 978-0133052312

10th edition

Authors: S. A. Hummelbrunner, Kelly Halliday, K. Suzanne Coombs

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Posted Date: Mar 09, 2024 06:25 AM

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Diane wants to receive annuity payments of $2500 at the beginning of each quarter for eight years.

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Contemporary Business Mathematics with Canadian Applications

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