Question
Asked Nov 22, 2019
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How much money do you need to deposit in a lump sum in a savings account that pays 9% interest compounded mothly to reach your goal of $5000 in 4 years? Assume no withdrawals are made. Round to the nearest cent.

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Expert Answer

Calculate the lumpsum am...

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FV PV (1+7) $5,000 417 9% 1+ 12 $5,000 48 (10075) $5, 000 1.43140533331371 $3,493.07067930575 or S$3,493

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