The amount of $27 350 is invested at 6 compounded monthly for 6 years After the initial 6 year period, the balance in the fund is converted into an annuity due paying $1600 every 6 months If interest on the annuity is 4 96 compounded semi annually, what is the term of the annuity in years ...

FV 27 350001005 72 27 3501432044278 39 16641102 PV due 39 16641102 P ...

The amount of $27 350 is invested at 6% compounded monthly for 6 years. After the initial

Question:

The amount of $27 350 is invested at 6% compounded monthly for 6 years. After the initial 6-year period, the balance in the fund is converted into an due paying $1600 every 6 months. If interest on the is 4.96% compounded semi-annually, what is the term of the in 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,...