Posted by **Kristen** on Wednesday, May 9, 2012 at 5:19am.

Suppose payments were made at the end of each month into an ordinary annuity earning interest at the rate of 8%/year compounded monthly. If the future value of the annuity after 14 yr is $70,000, what was the size of each payment? (Round your answer to the nearest cent.)

- math -
**Reiny**, Wednesday, May 9, 2012 at 8:30am
This time your formula is

Amount = paym( (1+i)^n - 1]/i

give it a try, following the steps I used in your previous post.

(If you are studying this topic, you should be able to do these type of questions, they are routine questions.)

## Answer This Question

## Related Questions

- math - Suppose payments were made at the end of each month into an ordinary ...
- math - Suppose payments were made at the end of each month into an ordinary ...
- math - Suppose payments were made at the end of each quarter into an ordinary ...
- Corporate Finance - A 15-year annuity pays $1,750 per month, and payments are ...
- math,help - what formula do i use for the following problem: which of the ...
- math - James has set up an ordinary annuity to save for his retirement in 18 ...
- algebra - Suppose a retiree wants to buy an ordinary annuity that pays her $2,...
- Math - Amy Powell invested $8500 twice a year in an ordinary annuity at New York...
- Finite Math - The amount (future value) of an ordinary annuity is given. Find ...
- math - find the present value of ordinary annuity payments of 890 each year for ...

More Related Questions