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Our ran mother has been put n SS 000 to a sam s account on every birth ay si ce your first that is, when you urned one The account pays an interest rate o 12%. How much money wil be n the account makes the deposit on your 18th birthday

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Answer #1

Future value of annuity=Annuity[(1+rate)^time period-1]/rate

=$5000[(1.12)^18-1]/0.12

=$5000*55.74971496

which is equal to

=$278,749(Approx).

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