How much would my annuity payment be if i wanted to save


1. How much would my annuity payment be if I wanted to save $2,000,000 over the next 25 years at 8%?

Use the FV of an annuity and solve for FV25

Please show your work.

2. Calculate the EAR of a 5% mortgage that is compounded monthly.

Please show your work.

3. When the discount rate is 8%, how much is a perpetuity that pays $10,000 per year worth?

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