18 of 33 Concepts completed Fill in the Blank Question To determine the present value of \( \$ 2,000 \) invested at the end of each year at a rate of \( 6 \% \) compounded annually over 10 years using the financial calculator app shown in the textbook requires entering the following information. Enter the correct amountPresent Value \( =( \) leave blank \( ) \) Payment = \( \square \) Future Value = \( \square \) Annual Rate (\%) \( \square \) Periods = \( \square \) Compounding = Annually

To determine the present value of an annuity (in this case, \( \$ 2,000 \) invested at the end of each year), we need to fill in the blanks with the appropriate values for the financial calculator. 1. **Present Value (PV)**: This is what we are trying to find, so we leave this blank for now. 2. **Payment (PMT)**: This is the amount invested at the end of each year, which is \( \$ 2,000 \). 3. **Future Value (FV)**: Since we are calculating the present value of the annuity, we typically set this to \( 0 \) because we are not looking for a future value at the end of the investment period. 4. **Annual Rate (%)**: This is the interest rate per period, which is \( 6\% \). 5. **Periods**: This is the total number of investment periods, which is \( 10 \) years. 6. **Compounding**: This is specified as annually. Now, we can summarize the information to fill in the blanks: - Present Value \( = ( \) leave blank \( ) \) - Payment \( = 2000 \) - Future Value \( = 0 \) - Annual Rate (\%) \( = 6 \) - Periods \( = 10 \) - Compounding \( = \) Annually So the filled-in information would look like this: - Present Value \( = ( \) leave blank \( ) \) - Payment \( = 2000 \) - Future Value \( = 0 \) - Annual Rate (\%) \( = 6 \) - Periods \( = 10 \) - Compounding \( = \) Annually