Gr11: Find the Value of an Annuity

It is a series of equal payments at regular intervals.

• Interest

• Annuity

• Logic

• Proposition

What is the definition of annuity ?

• A series of equal amount of payment /deposits made at equal intervals time

• A series of equal amount of discount made at equal intervals time

• A series of equal amount of annuity made at equal intervals time

• A series of marvel movie !

What is the formula for amount of annuity ?

• $S=\ R\ \frac{\left(1+i\right)^{n\ }+\ 1}{i}$

• $S\ =\ R\ \frac{\left(1+r\right)^{n\ }-\ 1}{i}$

• $S\ =\ R\ \frac{\left(1+r\right)^{n\ }-1}{r}$

• $S\ =\ R\ \frac{\left(1+i\right)^{n\ }-1}{i}$

 $S\ =\ R\ \frac{\left(1\ +\ i\ \right)^n-1}{i}$  what is the meaning of  $R$  

• Recycle

• Interest Period

• Periodic Payments

• Interest Rate 

Kailee saves $500 at the end of each quarter in an ordinary annuity earning 6.2% interest compounded quarterly. How much will Kailee have saved in 20 years?

• Future value = 78,058.07

• Future value = 78,158.07

• Future value = 87,258.07

• Future value = 38,158.07

Summer saves $2,000 at the end of each six month period in an ordinary annuity earning 6% interest compounded semiannually. How much will Summer have saved in 4 years

• Future value = 16,000

• Future value = 27,784.68

• Future value = 32,000

• Future value = 17,784.68