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Decide Whether the Problem Relates to an Ordinary Annuity or an Annuity

Question 105

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Decide whether the problem relates to an ordinary annuity or an annuity due. A trust will provide $11,000 to a county library at the beginning of each 3-month period for the next 3.5 years. If the money is worth an annual rate of 6.1%, compounded quarterly, find the amount in the trust when it begins. ​


A) ordinary annuity
B) annuity due

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