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Hello I tried to do the problem below, and I'm not sure where my calculations went wrong or my method was incorrect. I would like some assistance.

An annuity pays 1000.00 weekly for 4 years and then 4300.00 weekly for the next 8 years. Determine the discounted value if the interest rate is j52=4.2%.

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I tried both (1+(0.042/52)^(+-52*8) since I wasn't sure what symbol would be there and it didn't work.

Thanks for reading

IncognitoBatman
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  • Do you have a general formula for discounted value that you're trying to plug the interest rate into? Also, look up MathJax formatting so you can put your attempted answer as text rather than an image. – Acccumulation Feb 08 '19 at 23:53
  • I'm mainly following the discounted value formula being $$ \frac{R(1 - (1+i)^{-n})}{i} $$ – IncognitoBatman Feb 09 '19 at 00:58

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