Find the value of an annuity

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Reference no: EM1316258

Calculation of present value and payment of the amount.

1. Find the value of an annuity in which $1,100 is deposited at the end of each year for 5 years, at an interest rate of 11.5% compounded annually.

2. Determine the amount of each payment to be made to a sinking fund in order to pay off a $12,000 loan in 8 1/2 years when the funds earn interest at a rate of 10% compounded semi annually.

3. Find the present value of an ordinary annuity with annual payments of $1,000, for 6 years, at 10% interest compounded annually.

Reference no: EM1316258

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