Variable Annuity Comparison

For example: $1000 contribution per month for first year at 12% p.a compounded monthly. Contributions increase by 7% each year i.e. second year contributions will be $1070.

What is the future value of a 5-year annuity due that promises to pay you $300 each year? Assume that all payments are reinvested at 7 percent a year, until Year 5.

The ordinary annuity pays $300.00 each year at a 7% interest rate.

What is the future value of a 5-year ordinary annuity that promises to pay you $300 each year? The rate of interest is 7 percent.

I really need help with this problem. I have been working for hours on it and cannot figure it out at all. Examples in math book do not help at all.

Find the future value (FV) of the annuity due. (Round your answer to the nearest cent.)
$160 monthly payment, 6.5% interest, 13 years.
If you could provide me with the formulas and how to do it, that would be great! Thank you so much.

I need help on this problem: Summit Co. issued 1,000,000, 10-year bonds and agreed to make annual sinking fund deposits of $80,000. The deposits are made at the end of each year into an account paying 5% annual interest. What amount will be in the sinking fund at the end of 10 years?

Under what condition(s) would the two be equal?

I need to calculate the “fair market value” of my pension for a Domestic Relations Affadavit (in the divorce process, unfortunately).

Info I do have: the amount of my monthly payments starting at age 65 if I quit work now. These are given in 5 ways though… (1) if I had a “single life annuity,” (2) 33 1/3% joint and survivor annuity, (3) 50% joint and survivor annuity, (4) 66 2/3% joint and survivor annuity, (5) 100% joint and survivor annuity. (I have no idea what all these options mean.)

Thanks so much for any help… or pointing me to any good resource for calculating this !

Regards,

I’m going back to college after 10 years so it’s been forever since I’ve had to do an annuity problem lol and I need a little help, I think I’m having problems with the fractions…
Here’s the problem -

Find the future value of the following annuity due:

Payments of $2310 for 7 years at 10.2 % compounded annually

$600 per quarter for four years at the rate of 8% compounded quarterly. Please show me the work if you are able to complete this as it would help me understand the concept! Thanks!

The fixed and Variable Annuity is managed by AIG, which is not FDIC-insured, not bank guarantee, and not insured by any federal government agency. A maintenance fee of $3.75 may apply. Any suggestions?

Assume that all payments are reinvested at 7 percent a year, until Year 5.

Can anyone tell me what the future value of the annuity is and specifically how to come up with the answer?