The future value of an ordinary annuity of $1,000 each year for 10 years,deposited at 3 percent,is: (Round to the nearest whole dollar)
A) $11,808
B) $11,464
C) $8,530
D) $10,000

Question

Quizplus · Accepted Answer

FV = PMT × 11ea7fdb_fc14_facb_a768_c1f07f684f0f_TB2902_11 FV = 1,000 × 11ea7fdb_fc14_facc_a768_bb32c79bf374_TB2902_11 = $11,463.88
Using a financial calculator:
N = 10, I/Y = 3, PV = 0, PMT = -1,000, cpt FV = $11,463.88

The Future Value of an Ordinary Annuity of $1,000 Each