4. Suppose you make an annual contribution of BD300 each year to a college education fund for a niece. She is 4 years old now, and you will start next year and make the last deposit when she is 18. The fund is a money market account earning 6.5%/year. What will it be worth immediately after the last deposit? You may also set up spreadsheet solution AGE Ending Beginning Balance in Deposit Interest Balance

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter4: Time Value Of Money
Section: Chapter Questions
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4. Suppose you make an annual contribution of BD300 each year to a college
education fund for a niece. She is 4 years old now, and you will start next year and
make the last deposit when she is 18. The fund is a money market account earning
6.5%/year. What will it be worth immediately after the last deposit? You may also
set up spreadsheet solution
AGE
Beginning
Balance
Ending
Balance
Deposit
Interest
Transcribed Image Text:4. Suppose you make an annual contribution of BD300 each year to a college education fund for a niece. She is 4 years old now, and you will start next year and make the last deposit when she is 18. The fund is a money market account earning 6.5%/year. What will it be worth immediately after the last deposit? You may also set up spreadsheet solution AGE Beginning Balance Ending Balance Deposit Interest
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