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Future Value of sums of money over eight years

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Your rich godfather has offered you a choice of one of the three following alternatives: $10,000 now; $2,000 a year for eight yeaers; or $24,000 at the end of eight years. assuming you could earn 11 percent annually, which alterantive should you coose? If you could earn 12 percent annually, would you still choose the same alterantive.

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The future value of sums of money over eight years is computed.

$2.19
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Time Value of money

A) After a protracted legal case, Joe won a settlement that will pay him $11,000 each year for the next ten years. If the market interest rates are currently 5%, exactly how much should the court invest today, assuming end of year payments, so there will be nothing left in the account after the final payment is made?

B) Mary just deposited $33,000 in an account paying 7% interest. She plans to leave the money in this account for eight years. How much will she have in the account at the end of the seventh year?

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