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Math

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2.what are the steps that you need to follow in solving for the simple and general annuity

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Answer:

Step 1: Using the formula A = P(1 + i)n, find the value of $1 invested at 6%/a, compounded monthly after 1 year. ... Find the amount of an annuity of $2000 every year for 15 years if interest is 8%/a, compounded quarterly. Solution: Here the payment interval( 1 year ) is different than the interest period ( ¼ year)

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