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Using the Compound Interest Tables, Answer Each of the Following

question 2

Essay

Using the compound interest tables, answer each of the following questions.
Required:
a. Future value of an annuity due when the periodic amount is known, table
a. Pedro has decided he can save $5,000 a year for the next seven years, starting today. What amount will be available seven years from today if the investment account earns 12% compounded annually?
b. Anaposa needs $30,000 ten years from today. She has found an investment account that earns 9% compounded annually. How much must she deposit into that account each year for the next ten years, starting today to achieve her investment goal?


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