70.7k views
2 votes
8-year annuity factor = [1−(1+0.05)^−⁸/0.05]

A. $5.65

B. $4.20

C. $6.50

D. $8.30

1 Answer

3 votes

Final answer:

The 8-year annuity factor can be calculated using the formula provided.

Step-by-step explanation:

The formula given is for calculating the annual annuity factor.

To calculate the 8-year annuity factor, plug in the values into the formula:

8-year annuity factor = [1−(1+0.05)^−⁸/0.05]

Solving the equation will give the answer.

User CoryCoolguy
by
8.4k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories