About the two investment accounts

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Reference no: EM131021706

You have your choice of two investment accounts. Investment A is a 7-year annuity that features end-of-month $3,300 payments and has an interest rate of 7 percent compounded monthly. Investment B is an annually compounded lump-sum investment with an interest rate of 9 percent, also good for 7 years. Required: How much money would you need to invest in B today for it to be worth as much as Investment A 7 years from now? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

Reference no: EM131021706

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