If you put up $28,000 today in exchange for a 8.25% , 15 year annuity, what will the cash flow be?
If you can show how you got your answer, it would be much appreciated.
There is an on line annuity calculator that works well.
http://www.moneychimp.com/calculator/annuity_calculator.htm
The formula is i/(1-(1+i)**-n) for a prersent value of 1. So to solve you multiply by the amount of $28,000.
May 26th, 2009 at 6:33 pm
There is an on line annuity calculator that works well.
http://www.moneychimp.com/calculator/annuity_calculator.htm
The formula is i/(1-(1+i)**-n) for a prersent value of 1. So to solve you multiply by the amount of $28,000.
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