Question

FUTURE OF VALUE OF ANNNUITY

A1=4000
I=.08
N=5

4000(1+.08-1)/.08

Answer 1

So, \(1.08^{5} = 1.4693280768\)

Now what?

Answer 2

do not know what I need to do next could you walk me step by step on this so then I will know the right way to figuring this out

Answer 3

That's what I'm doing. The next things would be to subtract 1.

1.4693280768 - 1 = 0.4693280768

What's next?

Answer 4

divide that by 1.08

Answer 5

Sorry, this server and my firewall are not getting along and I haven't been able to make them more friendly.

Not quite. There is not "1" in the denominator. It's just 0.08. divide by that.

Answer 6

5.86660095

Answer 7

on the calculator how did you get the answer for 1.08^5

Answer 8

That is right. You must find the exponent key. Usually \(x^{y}\).

Answer 9

so now what do I do

Answer 10

Mutiply by 4000 and you are done.

Answer 11

now you have 4000(5.86660095)
I got 23466.78 and it said it was wrong

Answer 12

I would try 23466.40. Not sure how you manged 0.78.

Answer 13

got it thanks so much now I understand how to do this, my book was not giving me good information and would stop in the middle of the process thanks so much

Answer 14

Can I ask you another difficult question before you get away? It's about whether or not you have the right prerequisites for this course? If you don't want to go there, that's fine.