ferencesMailings Review8-9. You want to have $750,000 on your 70th birthday, and you are 25 right now.8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain$750,000?9) The amount from #8 is more than you can afford, so you decide to invest a constantamount, R(t) dollars per year. Find R(t) such that the accumulated future value of thecontinuous money stream is $750,000, assuming an interest rate of 1.6%, compoundedcontinuously.SpeakerZAN234aGaNONⒸ

Present Value: It is the present worth of the future sum of the amount and is estimated by the…

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8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain $750,000?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 8EA: You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how...

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Mailings Review
8-9. You want to have $750,000 on your 70th birthday, and you are 25 right now.
8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain
$750,000?
9) The amount from #8 is more than you can afford, so you decide to invest a constant
amount, R(t) dollars per year. Find R(t) such that the accumulated future value of the
continuous money stream is $750,000, assuming an interest rate of 1.6%, compounded
continuously.
Speaker
ZAN
23
4
a
G
a
NO
N
Ⓒ

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