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Determine the future value of this annuity due

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Reference no: EM132911709

Question - Your friend Anne is planning to invest $400 each year for four years and will earn a rate of 6 percent per year. 

a) Determine the future value of this annuity due if her first $400 is invested now. Show your work.

b) What is the difference between an annuity due and an ordinary annuity? Explain.

Reference no: EM132911709

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