Business and Finance

Business & Finance
Tutor: None Selected Time limit: 1 Day

Use the simple interest formula method to find the future value of an ordinary annuity of $2500 paid annually after 3 years at 2.9% interest.  Future annuity value is? Total interest earned? Round to nearest cent as needed.

Aug 28th, 2014

I=P*R*T

where:

I= interest.

P= principal

R=rate

T= time

I=2500*2.9/100*3

= $ 218

FUTURE ANNUITY= P+I =218+2500

                             =2,718

Aug 28th, 2014

Did you know? You can earn $20 for every friend you invite to Studypool!
Click here to
Refer a Friend
...
Aug 28th, 2014
...
Aug 28th, 2014
May 30th, 2017
check_circle
Mark as Final Answer
check_circle
Unmark as Final Answer
check_circle
Final Answer

Secure Information

Content will be erased after question is completed.

check_circle
Final Answer