Greg has always dreamed of opening a café by the seaside. He decides he will save to help open the café by depositing money in an ordinary annuity that ea 7.8% interest, compounded monthly. Deposits will be made at the end of each month. How much money will he need to deposit into the annuity each month for the annuity to have a total value of $24,000 after 8 years? Do not round intermediate computations, and round your final answer to the nearest cent. If necessary, refer to the list of financial formulas.
Greg has always dreamed of opening a café by the seaside. He decides he will save to help open the café by depositing money in an ordinary annuity that ea 7.8% interest, compounded monthly. Deposits will be made at the end of each month. How much money will he need to deposit into the annuity each month for the annuity to have a total value of $24,000 after 8 years? Do not round intermediate computations, and round your final answer to the nearest cent. If necessary, refer to the list of financial formulas.
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 34P
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Transcribed Image Text:Greg has always dreamed of opening a café by the seaside. He decides he will save to help open the café by depositing money in an ordinary annuity that ea
7.8% interest, compounded monthly. Deposits will be made at the end of each month.
How much money will he need to deposit into the annuity each month for the annuity to have a total value of $24,000 after 8 years?
Do not round intermediate computations, and round your final answer to the nearest cent. If necessary, refer to the list of financial formulas.
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