QUESTION

# An annuity pays \$500 per year for 8 years beginning one year from today. What is the remaining value of the annuity immediately after the third \$500

An annuity pays \$500 per year for 8 years beginning one year from today. What is the remaining value of the annuity immediately after the third \$500 payment? Assume an interest rate of 2% APR.

A) \$2,357 B) \$2,404 C) \$3,236 D) \$3,663

You have decided to fund a growing perpetuity to support the Boston Harbor Islands and would like the first payment to be made in 6 years. Interest rates are 6% APR and you would like the payments to increase by 2% each year. If you invest \$11,210 today, what will the second payment (the payment in year 7) be?

A) \$600 B) \$612 C) \$566 D) \$636

You expect to receive 10 annual payments of \$10,000. You will receive the first payment today. After that the payment will increase 4% per year for the remaining 9 years. Assuming a 6% interest rate, what is the value of the payments today?

A) \$86,720 B) \$88.772 C) \$90,189 D) \$91,923

Can i get some help on these three as soon as possible? I've got exam tomorrow...