Mathematics, 04.08.2020 14:01 aaron0828
Find the value of annuity if the periodic deposit is $250 at 5% compounded quarterly for 10 years
Answers: 2
![P_v = P * [1 - (1 + \frac{r}{n} )^{-t * n} ] * [\frac{(1 + \frac{r}{n} )}{ \frac{r}{n} } ]](/tpl/images/0717/1826/e1026.png)
(reference EDUCBA website)![P_v = 250 * [1 - (1 + \frac{0.05}{4} )^{-10 * 4} ] * [\frac{(1 + \frac{0.05}{4} )}{ \frac{0.08}{4} } ]](/tpl/images/0717/1826/3fbd2.png)
![P_v = 250 * [1 - (1.0125 )^{-40} ] * [\frac{(1.0125 )}{0.0125} ]](/tpl/images/0717/1826/bd893.png)
![P_v = 250 * [0.3916 ] * [\frac{(1.0125)}{0.0125} ]](/tpl/images/0717/1826/3f052.png)
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Find the value of annuity if the periodic deposit is $250 at 5% compounded quarterly for 10 years...
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