{"id":3368,"date":"2021-06-29T10:50:26","date_gmt":"2021-06-29T14:50:26","guid":{"rendered":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/?post_type=chapter&#038;p=3368"},"modified":"2021-06-29T19:00:35","modified_gmt":"2021-06-29T23:00:35","slug":"videos-introduction-to-annuities","status":"web-only","type":"chapter","link":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/chapter\/videos-introduction-to-annuities\/","title":{"raw":"Videos: Introduction to Annuities","rendered":"Videos: Introduction to Annuities"},"content":{"raw":"<h2>What is an Annuity?<\/h2>\r\n[embed]https:\/\/youtu.be\/6M27Pa30y3k[\/embed]\r\n\r\n&nbsp;\r\n<ol>\r\n \t<li>You decide to begin a savings plan.\u00a0 Starting in one year you will deposit $100 each year into an account that pays <em>j<sub>1<\/sub><\/em>= 12%.\u00a0 How much will you have in 3 years?\u00a0 How much of that is interest?<\/li>\r\n<\/ol>\r\n&nbsp;\r\n\r\n[embed]https:\/\/youtu.be\/j5UdPYKtflM[\/embed]\r\n<ol start=\"2\">\r\n \t<li>Financial planners estimate you will require an income of $2,500 per month to retire.\u00a0 You dial 1-800-psychic and discover you will live another 15 years.\u00a0 How much money will you need to retire if your first withdrawal will be in one month? (interest is 9% compounded monthly)<\/li>\r\n<\/ol>\r\n&nbsp;\r\n\r\n[embed]https:\/\/youtu.be\/22k6yHM_OIk[\/embed]\r\n<ol start=\"3\">\r\n \t<li>You have just purchased a new house for $250,000.\u00a0 You can afford to pay $2,600 per month on your mortgage.\u00a0 How long will it take you to pay off your house if interest is calculated at 12% compounded monthly?<\/li>\r\n<\/ol>\r\n&nbsp;\r\n\r\n[embed]https:\/\/youtu.be\/oBYQcjdfHVU[\/embed]\r\n<ol start=\"4\">\r\n \t<li>Your new car loan has payments of $499 at the end of each month for 5 years to pay for a $25,000 Mercury Stable.\u00a0 What rate of interest is being charged?\u00a0 What is the effective rate?\u00a0 What is the cost of financing?<\/li>\r\n<\/ol>\r\n[embed]https:\/\/youtu.be\/Q5fsOzEC8vg[\/embed]","rendered":"<h2>What is an Annuity?<\/h2>\n<p><iframe loading=\"lazy\" id=\"oembed-1\" title=\"Business Math Lesson 12: Annuities, part 1\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/6M27Pa30y3k?feature=oembed&#38;rel=0\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<p>&nbsp;<\/p>\n<ol>\n<li>You decide to begin a savings plan.\u00a0 Starting in one year you will deposit $100 each year into an account that pays <em>j<sub>1<\/sub><\/em>= 12%.\u00a0 How much will you have in 3 years?\u00a0 How much of that is interest?<\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<p><iframe loading=\"lazy\" id=\"oembed-2\" title=\"Business Math Lesson 12: Annuities, part 2\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/j5UdPYKtflM?feature=oembed&#38;rel=0\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<ol start=\"2\">\n<li>Financial planners estimate you will require an income of $2,500 per month to retire.\u00a0 You dial 1-800-psychic and discover you will live another 15 years.\u00a0 How much money will you need to retire if your first withdrawal will be in one month? (interest is 9% compounded monthly)<\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<p><iframe loading=\"lazy\" id=\"oembed-3\" title=\"Business Math Lesson 12: Annuities, part 3\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/22k6yHM_OIk?feature=oembed&#38;rel=0\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<ol start=\"3\">\n<li>You have just purchased a new house for $250,000.\u00a0 You can afford to pay $2,600 per month on your mortgage.\u00a0 How long will it take you to pay off your house if interest is calculated at 12% compounded monthly?<\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<p><iframe loading=\"lazy\" id=\"oembed-4\" title=\"Business Math Lesson 12: Annuities, part 4\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/oBYQcjdfHVU?feature=oembed&#38;rel=0\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n<ol start=\"4\">\n<li>Your new car loan has payments of $499 at the end of each month for 5 years to pay for a $25,000 Mercury Stable.\u00a0 What rate of interest is being charged?\u00a0 What is the effective rate?\u00a0 What is the cost of financing?<\/li>\n<\/ol>\n<p><iframe loading=\"lazy\" id=\"oembed-5\" title=\"Business Math Lesson 12: Annuities, part 5\" width=\"500\" height=\"375\" src=\"https:\/\/www.youtube.com\/embed\/Q5fsOzEC8vg?feature=oembed&#38;rel=0\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n","protected":false},"author":883,"menu_order":14,"template":"","meta":{"pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[],"contributor":[],"license":[],"class_list":["post-3368","chapter","type-chapter","status-web-only","hentry"],"part":46,"_links":{"self":[{"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/chapters\/3368","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/wp\/v2\/users\/883"}],"version-history":[{"count":1,"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/chapters\/3368\/revisions"}],"predecessor-version":[{"id":3369,"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/chapters\/3368\/revisions\/3369"}],"part":[{"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/parts\/46"}],"metadata":[{"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/chapters\/3368\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/wp\/v2\/media?parent=3368"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/pressbooks\/v2\/chapter-type?post=3368"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/wp\/v2\/contributor?post=3368"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/businessmathematics\/wp-json\/wp\/v2\/license?post=3368"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}