Register
Luana loves shopping for clothes, but considering the state of the economy, she has decided to start saving. At the end of each year, she will deposit $710 in her local bank, which pays her 4% annual interest.
37.8k views
0 votes
Luana loves shopping for clothes, but considering the state of the economy, she has decided to start saving. At the end of each year, she will deposit $710 in her local bank, which pays her 4% annual interest. Luana decides that she will continue to do this for the next five years. Luana savings are an example of an annuity. How much will she save by the end of five years?O $3,160.79 O $3,845.59 O $3,999.41O $3,268.75

User Wesleyy
by
5.2k points

1 Answer

3 votes

Answer:

Step-by-step explanation:

Ordinary Annuity = Investment * PVAF(Interest, number of years)

Ordinary Annuity = $710 * PVAF(4%,5 years)

=$710 * 4.4518

=$3160.79

User Ujjwal Khatri
by
5.6k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

5.9m questions

7.7m answers

Other Questions

What are some ways you can save on car insurance?
Demonstrate how binomial nomenclature is related to classification systems by identifying the genus name and the specific name of the domestic cat felis catus
The dark printed words on the page of a book are easily read because they are printed on a light ground. this is an example of the principle of ____________.
On august 1 the darius co. purchased a photocopy machine for $8,000. the estimated annual depreciation on the machine is $1,680. if the company prepares annual financial statements on december 31, the
When president obama was elected, the u.s. economy was in trouble, and has slid into a recession. consumer spending was low and getting worse. in an effort to stop the decline, president obama proposed
Link Copied!