Calista makes 10 end of year deposits of 1000 in to a savings account crediting interest at an annual effective rate of 8.4%. Beginning one year after her last deposit, Calista makes five level annual withdrawals of X. Just after her fifth and final withdrawal, Calista has exhausted her savings. Find X.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 14P
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Calista makes 10 end of year deposits of 1000 in to a savings
account crediting interest at an annual effective rate of 8.4%. Beginning one
year after her last deposit, Calista makes five level annual withdrawals of X.
Just after her fifth and final withdrawal, Calista has exhausted her savings.
Find X.
Transcribed Image Text:Calista makes 10 end of year deposits of 1000 in to a savings account crediting interest at an annual effective rate of 8.4%. Beginning one year after her last deposit, Calista makes five level annual withdrawals of X. Just after her fifth and final withdrawal, Calista has exhausted her savings. Find X.
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