A small company wishes to set up a fund that can be used for technology purchases over the next 6 years. Their forecast is for $20,000 to be needed at the end of 1, decreasing by $2,000 each year thereafter. The fund earns 10% per year. How much money must be deposited to the fund at the end of year 0 to just deplete the fund after the last withdrawal? year $240,738 O$80,432 $67,737 $120,654

A small company wishes to set up a fund that can be used for technology purchases over the next 6 years. Their forecast is for $20,000 to be needed at the end of 1, decreasing by $2,000 each year thereafter. The fund earns 10% per year. How much money must be deposited to the fund at the end of year 0 to just deplete the fund after the last withdrawal? year $240,738 O$80,432 $67,737 $120,654

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter19: Capital Investment

Section: Chapter Questions

Problem 22E

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