Business
Business, 30.11.2019 04:31, jpsaad00

An insurance company is offering a new policy to its customers. typically, the policy is bought by a parent or grandparent for a child at the child’s birth. the details of the policy are as follows: the purchaser (say, the parent) makes the following six payments to the insurance company: first birthday: $ 810 second birthday: $ 810 third birthday: $ 910 fourth birthday: $ 850 fifth birthday: $ 1,010 sixth birthday: $ 950 after the child’s sixth birthday, no more payments are made. when the child reaches age 65, he or she receives $310,000. the relevant interest rate is 10 percent for the first six years and 7 percent for all subsequent years. find the future value of the payments at the child's 65th birthday. (do not round intermediate calculations and round your answer to 2 decimal places, e. g., 32.16.) future value $

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