How to calculate annuity values? HW Help?
Want to have $ 90,000 in your savings account within 10 years, and is prepared to make equal annual deposits into the account at the end of each year. If the account pays 6.8 percent interest, you must deposit $ _______ each year. Is there a fastest way to calculate on a calculator? Thanks
You need a calculator that makes the present value calculation. I have a financial calculator HP12C. I entered $ 90,000 as the future value 10 as the number of periods of 6.8, the rate of interest then click the button to calculate the annual payment. The answer back to $ 6,575.77 that I double check in Excel using the PMT function. The answer again the same, the bottom. online is easy if you have a calculator making present value calculations.