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Finance: Present value and Future value of annuities.

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17. Calculate the present value of an annual payment of $3,000 per year for ten years at 8% (ordinary annuity)

18. How much will you have at the end of the 6th year if you invest $5,000 annually for six years at 7% annual rate, if you start one year from today?

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Solution Summary

The problem deals with estimating the present value and future value of cash flows provided in the question.

Solution provided by:
Chidi Ngene, M. Sc.
Education
  • B. Sc., University of Nigeria
  • M. Sc., London South Bank University
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