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Find the lump sum amount if annual interest is given

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Reference no: EM131627839

Question: 1. What is the present value of an ordinary annuity of $3,400 at 5% annual interest for seven years?

2. An annual ordinary annuity of $2,500 for five years at 5% annual interest requires what lump-sum payment now?

3. How much money needs to be set aside today at 10% annual interest compounded semiannually to pay $500 for five years?

Reference no: EM131627839

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