Jake Werkheiser decides to invest $5000 in an IRA at the end of each year for the next 6 years. If he makes these investments, and if the certificates pay 13%, compounded annually, how much will he have at the end of the 6 years?

College Algebra
1st Edition
ISBN:9781938168383
Author:Jay Abramson
Publisher:Jay Abramson
Chapter9: Sequences, Probability And Counting Theory
Section9.4: Series And Their Notations
Problem 56SE: To get the best loan rates available, the Riches want to save enough money to place 20% down on a...
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Jake Werkheiser decides to invest $5000 in an IRA at the end of each year for the next 6 years. If he makes these investments, and if the
certificates pay 13%, compounded annually, how much will he have at the end of the 6 years?
(a) State whether the problem relates to an ordinary annuity or an annuity due.
Oordinary annuity
annuity due
(b) Solve the problem. (Round your answer to the nearest cent.)
$
6
Transcribed Image Text:Jake Werkheiser decides to invest $5000 in an IRA at the end of each year for the next 6 years. If he makes these investments, and if the certificates pay 13%, compounded annually, how much will he have at the end of the 6 years? (a) State whether the problem relates to an ordinary annuity or an annuity due. Oordinary annuity annuity due (b) Solve the problem. (Round your answer to the nearest cent.) $ 6
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