Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. you receive an inheritance of a thirty-year annuit

You receive an inheritance of a thirty-year annuity, which pays 1 at the end of the...

70.2K

Verified Solution

Question

Finance

You receive an inheritance of a thirty-year annuity, which pays1 at the end of the first year, 2 at the end of the second year, 1at the end of the third year, 4 at the end of the fourth year, 1 atthe end of the fifth year, etc. This pattern will continue suchthat 1 will be paid out at the end of 29th year and 30 will be paidout at the end of the 30th year. Find the present value of thisinheritance if the annual effective interest rate is 4%(Answer:120.17)

Answer & Explanation Solved by verified expert
4.5 Ratings (832 Votes)
    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Ribosome Virus Mitochondrion Protein Question 2 1 point 1 Listen Which of the following is...

Biology
Q

5 A diatomic gas initially at 18 C is compressed adiabatically to one eighth of...

Physics
Q

The period of this function is EIN 2x AM 2

Geometry
Q

distance of 20 feet from a tree the angle of inclination is measured to be...

Geometry
Q

Use a reference angle to write sec 25 in terms of the secant of a...

Geometry
Q

Let 0 arccos 2 then 2 2 0 0 37 and cos 0 2 0...

Basic Math
Q

Suppose the line of best fit is drawn for some data points. If the mean...

Basic Math
Q

The number of fires set by candles in a home is normally distributed The data...

Statistics
Q

The following data pertain to Colgate Palmolive's liquid filling line during the first 10 months...

Accounting
Q

The present value of a $10,000, 5-year bond, will be less than $10,000 if the:...

Accounting
Q

financial econometric

Accounting
Q

Prepare a statement of retained earnings for Tidal Company for the current year ended December...

Accounting