Future value of an annunity?

Question

R=$7500, i=6% interest compounded semiannuanly for 5 years.

a)335,979.09

b)76,193.30

c)85,979.09

d)157,809.62

Answer 1

If you have a financial calc...enter in:

PV=7500, N=10, I=3, FV=Calc

Answer 2

Assuming the payments of $7,500 are semiannual (twice per year) for the 5 year period (10 payments), the answer is:

c) $85,979.09

Answer 3

semi-annually for 5 years means there will be 2 interest cycles per year or 10 total.  Interest 6%.  I took R to be a monthly income.  On a HP10BII you would make N=10, I/YR=6, leave PV blank, P/YR=12, PMT=-7500 (negative because that is the way the calculator works to give you a positive future value) and finally hit the FV to calculate.

EDIT - 76,193.30

I see the previous answer also works.  It all depends on the payment frequency.