solve for P
P( 1.065^4 - 1)/.065 = 2500
The amount (future value) of an ordinary annuity is given. Find the periodic payments.
A = $2500, and the annuity earns 6.5% compounded annually for 4 years.
4 answers
didn't get it right, the answer in the book is 567.26
I got 567.26
P( 1.065^4 - 1)/.065 = 2500
P( 1.286466351 - 1)/.065 = 2500
P(.286466...)/.065 = 2500
P(4.40717...) = 2500
P = 2500/4.40717.. = 567.256
P( 1.065^4 - 1)/.065 = 2500
P( 1.286466351 - 1)/.065 = 2500
P(.286466...)/.065 = 2500
P(4.40717...) = 2500
P = 2500/4.40717.. = 567.256
yeah you are right i just plug it in wrong , thanks soooo much!
1 answer