Step 1 :We are given the following values: \(R=2000\), \(i=0.09\), and \(n=5\). We are asked to find the future value of the ordinary annuity.
Step 2 :The future value of an ordinary annuity can be calculated using the formula: \(F = R \left[\frac{(1+i)^n - 1}{i}\right]\), where: \n- F is the future value of the annuity \n- R is the periodic payment \n- i is the interest rate per period \n- n is the number of periods
Step 3 :Substituting the given values into the formula, we get: \(F = 2000 \left[\frac{(1+0.09)^5 - 1}{0.09}\right]\)
Step 4 :Calculating the above expression, we find that the future value of the ordinary annuity is approximately \$11969.42
Step 5 :Final Answer: The future value of the ordinary annuity is \(\boxed{\$11969.42}\)