**Unformatted text preview: **annuity due. Problem example 3 to solve future value of Case A: $22,000 with a rate 7% of over 15 years, ordinary annuity; and Case B: $10,000 with a rate of 12% over 20 years, annuity due. Nothing special is done to the formula for Case A: The type is indicated with a “1” for Case B: Problem example 4: You’re 30 and want to retire at 60 with $1.5 million. How much money do you need to put into a savings count at the end of each year to accomplish this at a rate of 8%? Problem example 5: Person will be putting $3500 into a savings account for 5 years, then $2000 for 5 more years. The first 3 years will have a rate of 6% and the remaining years will be at a rate of 9%. I would figure this in 3 segments, the first 3 years with $3500 at a rate of 6%; the next 2 years with $3500 at a rate of 9%; the remaining 5 years at a rate of 9%. Professor, thank you so much for spending time on quiz examples this seminar. See you next week. Jini References Eakins, S., McNally, W. (2014). CFO Corporate Finance Online . NJ: Pearson Education...

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- Summer '15
- Jerry Taylor