Im having problems trying to figure out how to solve this problem.
The formula for Future Value of an Ordinary Annuity is
FV=PMT( (1+I)^n -1)/I)
The problem isFind the I (rate per period) and the N( number of Periods) for each annuity.
Quarterly deposits of $500 are made for 20 years into an annuity that pays 8% coumpounded quarterly.
Since it is deposited quarterly do i multiply 500x4? and since it is compounded quarterly do I divide both interest by 4?