Ed Sloan invests $1,600 at the beginning of each year for eight years into an account that pays 10% compounded semiannually. The value of the annuity due is (use the tables in the handbook) :

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Mathematics

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17 January, 05:26

Ed Sloan invests $1,600 at the beginning of each year for eight years into an account that pays 10% compounded semiannually. The value of the annuity due is (use the tables in the handbook) :

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Mackenzie Hunt · Answer 1

FV=PV (r+1) ⁿ

FV=Future value, or your amount of money you're going to have after 8 years.

PV=Present value, or the amount of money you have just invested.

APR=10

FV=1,600 (10+1) ¹⁶

FV=1,600 (11) ¹⁶

FV=1,600 (176)

FV=$281,600