Apollo Enterprises has been awarded an insurance settlement of $4,000 at the end of each 6 month period for the next 13 years. (Round your answers to the nearest cent.) (a) As the accountant,...


Apollo Enterprises has been awarded an insurance settlement of $4,000 at the end of each 6 month period for the next 13 years. (Round your answers to the nearest cent.)


(a)


As the accountant, calculate how much (in $) the insurance company must set aside now at 6% interest compounded semiannually to pay this obligation to Apollo.

$




(b)


How much (in $) would the insurance company have to invest now if the Apollo settlement was changed to $2,000 at the end of each 3 month period for 13 years and the insurance company earned 8% interest compounded quarterly?

$




(c)


How much (in $) would the insurance company have to invest now if the Apollo settlement was paid at the beginning of each 3 month period rather than at the end?

$




Jun 04, 2022
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