Paul has agreed to contribute $35 per year for the next
2 years to his alimni association. however, he wishes to
contribute this as one lump sum now. assume an interest rate
9%, and determine what lump sum he should contribute.

Question

Paul has agreed to contribute $35 per year for the next
2 years to his alimni association. however, he wishes to
contribute this as one lump sum now. assume an interest rate 
9%, and determine what lump sum he should contribute.

anonymous · Answer

Hey lily do you still need help on this?

anonymous · Answer

yes pls

anonymous · Answer

yeah sorry for just lurking I was helping two other people so it was hectic. Anyways one question before I start is the interest rate compounded annually/semi-annually or what?

anonymous · Answer

its ok,  and the directions just say to find the present value of the annuity. assume that all interest rates are annual rates. so annual

anonymous · Answer

ok cool! so do you have an idea of how to do this?

anonymous · Answer

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