This problem demonstrates the dependence of the future value of an annuity on the number of payments.

Question:

This problem demonstrates the dependence of the of an on the number of payments. Suppose $1000 is invested at the end of each year. Assume the investments earn 10% compounded annually. Calculate the of the investments after each of the following numbers of payments:
a. 5.
b. 10.
c. 15.
d. 20.
e. 25.
f. 30. 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...