What is value of investment at the current interest rate

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Reference no: EM131975182

Suppose you just bought an annuity with 12 annual payments of $16,200 at the current interest rate of 13 percent per year. What is the value of the investment at the current interest rate of 13 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Value of investment $ What happens to the value of your investment if interest rates suddenly drop to 8 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Value of investment $ What happens to the value of your investment if interest rates suddenly rise to 18 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Value of investment.

Reference no: EM131975182

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