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Unformatted text preview: (3) (3) (5) (5) O O O O (4) (4) (1) (1) O O O O (2) (2) (7) (7) O O O O (6) (6) O O O O O O O O O O 1) At the end of year 1 I deposit $1,000 into an account that is earning 4% interest compounded annually. At the end of each subsequent year I deposit 2 % less than I did the previous year. Thus, for example, at the end of year 2 I deposit $980 and at the end of year 3 I deposit $960.40. How much do I have after the 40th deposit? j d 1.04; jj d .98; P d 1000 j := 1.04 jj := 0.98 P := 1000 A = P $ j 39 C jj $ P $ j 38 C jj 2 $ P $ j 37 C ... C jj 39 $ P Error, invalid sum/difference A = P $ j 39 C jj $ P $ j 38 C jj 2 $ P $ j 37 C ... C jj 39 $ P = jj 39 $ P $ j jj 39 C j jj 38 C ... C 1 Error, invalid sum/difference = jj 39 $ P $ j jj 39 C j jj 38 C ... C 1 Ans d jj 39 $ P $ j jj 40 K 1 j jj K 1 Ans := 72588.67017 2) On Jan . 1, 2009, I won an award that pays $10,000 dollars every year for n years with the first payment immediately. Find n, given that at 3% annual interest, the present value of my award...
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 Spring '08
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