Can someone tell me if this is ordinary annuity of future or ordinary values sinking funds present value or what is it. The question is You are earning an average of 46500 and will retire in 10 years. If you put 20% of your gross average income in an ordinary annuity compounded at 7% annually, what will be the value of the annuity when you retire? I am using a texas instrument calculator for figuring and using formulas to do this HELP HELP

You put in P = 9,300 per year for n = 10 years at interest rate r = .07

You can do this as a future value of annuity or amount of a sinking fund. N is accumulated after n years.
N = P * [(1+r)^n - 1 ] / r

N = 9300 * [ (1.07)^10 - 1 ] / .07

N = 128,493

With my TI 83 + calculator:

type 9300
type * times key x
left paren
1.07^10 -1
right paren
enter
get 8994.5...
divide key
.07
enter
get
128492.966

that is what i was wondering if i had to figure out the from the 46500 the 20 percent and use that thanks

To determine the value of an ordinary annuity compounded at 7% annually, you can use the formula for the future value of an ordinary annuity:

FV = P * [(1 + r)^n - 1] / r

Where:
FV = Future Value of the annuity
P = Payment amount per period (in this case, 20% of your gross average income)
r = Interest rate per period (7% annually, so 7% / 100 = 0.07)
n = Number of periods (10 years)

To calculate it using your Texas Instruments calculator, follow these steps:

1. Set your calculator to "Finance" or "App" mode.

2. Use the following keys and input the values:
- 46500 * 0.20 = multiply 46500 by 0.20 to get the payment amount
- N = 10, set n as 10 years
- I/Y = 7, set the interest rate per period as 7%
- CPT (or solve for) FV = calculate the future value

The calculated FV value displayed on your calculator will be the value of the annuity when you retire.

Keep in mind that this calculation assumes the payment is made at the end of each period (often the case for annuities). If the payment is made at the beginning of each period, you may need to adjust the formula or consult the calculator manual.

Hope this helps!