Tuesday, 7 April 2015

Morgan Jennings, a geography professor, invests $50,000 in a parcel of land that is expected to increase in value by 12 percent per year for the next five years.

Morgan Jennings, a geography professor, invests $50,000 in a parcel of land

that is expected to increase in value by 12 percent per year for the next five

years. He will take the proceeds and provide himself with a 10-year annuity.

Assuming a 12 percent interest rate, how much will this annuity be?



Morgan Jennings, a geography professor, invests $50,000 in a parcel of land that is expected to increase in value by 12 percent per year for the next five years.

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