FIN 534 RANK Imagine Your Future /fin534rank.com FIN 534 RANK Imagine Your Future /fin534rank.com - Page 56

additional $5,000 in each of the next 4 years (at t = 1, 2, 3, and 4). Then they plan to make 3 equal annual contributions in each of the following years, t = 5, 6, and 7. They expect their investment account to earn 9%. How large must the annual payments at t = 5, 6, and 7 be to cover Ellen\'s anticipated college costs? a. $1,965.21 b. $2,068.64 c. $2,177.51 d. $2,292.12 e. $2,412.76 =============================================== FIN 534 Week 3 Chapter 5 Solution FOR MORE CLASSES VISIT www.fin534rank.com Three $1,000 face value bonds that mature in 10 years have the same level of risk, hence their YTMs are WV&B2RV6W&B"2RV6WB&B22"PV6W&B"6V2B"77V֖rFW&W7B&FW2&V67FBf"FRWBV'2v6bFRfvr7FFVVG204%$T5C