Finding "n" simple annuity word problem

[Sue0113]

A trust fund will start to pay you $15200 per year at the start of each year once you turn 18. The prevailing interest rate is 8.79% compounded annually. For how long can you receive payments if you are celebrating your 14th birthday today and the current value of your trust fund is $111345.00?
Step#1 - COMP FV @ 18
PV @ 14 =111345.00
PMT = 0
c/y = 1
p/y = 1
i/y = 8.79
n=4
FV=155,964.8122 @ 18

Step #2 - comp for "n"
PV = 155,964.8122
PMT = 15200
c/y = 1
P/y = 1
i/y = 8.79
FV = 0
n = 27.6 Is this correct you can receive payments for 27.6 years?

 

[tkhunny]

You did not show that you switched setting to "Beginning". That first payment comes out immediately.

Yes, a partial year is fine. It represents a smaller, final payment.