An amount of P 250,000 is deposited now into a savings account that earns 8% per year. This amount will take care for the yearly allotment of a grandmother until she dies. The first allotment will be one year after the deposit is made. How much can the grandmother withdraw every year?
An amount of P 250,000 is deposited now into a savings account that earns 8% per year. This amount will take care for the yearly allotment of a grandmother until she dies. The first allotment will be one year after the deposit is made. How much can the grandmother withdraw every year?
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 1P
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8. An amount of P 250,000 is deposited now into a savings account that earns 8% per year. This amount will take care for the yearly allotment of a grandmother until she
dies. The first allotment will be one year after the deposit is made. How much can the
grandmother withdraw every year?
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