Find the accumulated value at the end
Monthly deposits are made into a fund at the beginning of each month for 5 years. The first 12 deposits are $500 each,and deposits increase by 5% every year. Find the accumulated value at the end of 5 years if i^(12) = 0.06.
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A perpetuity-due has annual payments of $10000, $11000, $12000, ... If the present value of the seventh and eighth payments are equal, find the present value of the perpetuity.
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The average life expectancy of tires produced by the Whitney Tire Company has been 40,000 miles. Management beliveves that due to a new production process, the life expectancy of its tires has increased.
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