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Answer :
The future value of the annuity due is $187,054.73.
To calculate the future value of an annuity due, we can use the formula:
FV = P * [(1 + r)^n - 1] / r
Where:
FV = Future value of the annuity
P = Payment amount per period
r = Interest rate per period
n = Number of periods
In this case, the payment amount per period is $2,800, the interest rate is 4.3% per year (or approximately 0.3583% per month), and the annuity lasts for 5 years (60 months).
Plugging these values into the formula, we have:
FV = 2800 * [(1 + 0.003583)^60 - 1] / 0.003583
Evaluating this expression, the future value of the annuity due is approximately $187,054.73.
Therefore, the correct answer is $187,054.73.
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