tiawanad 2 years ago FUTURE OF VALUE OF ANNNUITY A1=4000 I=.08 N=5 4000(1+.08-1)/.08

1. tkhunny

So, \(1.08^{5} = 1.4693280768\) Now what?

do not know what I need to do next could you walk me step by step on this so then I will know the right way to figuring this out

3. tkhunny

That's what I'm doing. The next things would be to subtract 1. 1.4693280768 - 1 = 0.4693280768 What's next?

divide that by 1.08

5. tkhunny

Sorry, this server and my firewall are not getting along and I haven't been able to make them more friendly. Not quite. There is not "1" in the denominator. It's just 0.08. divide by that.

5.86660095

on the calculator how did you get the answer for 1.08^5

8. tkhunny

That is right. You must find the exponent key. Usually \(x^{y}\).

so now what do I do

10. tkhunny

Mutiply by 4000 and you are done.

now you have 4000(5.86660095) I got 23466.78 and it said it was wrong

12. tkhunny

I would try 23466.40. Not sure how you manged 0.78.

got it thanks so much now I understand how to do this, my book was not giving me good information and would stop in the middle of the process thanks so much

14. tkhunny

Can I ask you another difficult question before you get away? It's about whether or not you have the right prerequisites for this course? If you don't want to go there, that's fine.