Jeff makes payments at the end of each year into an account for 10 years. The present value of Jeff's payments is 5,000. Ryan makes a payment equal to Jeff's payment at the beginning of each year for 11 years into the same account. The present value of Ryan's payments is 5,900. Calculate the amount of Jeff's payment.
Jeff makes payments at the end of each year into an account for 10 years. The present value of Jeff's payments is 5,000. Ryan makes a payment equal to Jeff's payment at the beginning of each year for 11 years into the same account. The present value of Ryan's payments is 5,900. Calculate the amount of Jeff's payment.
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 39P
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Question
Jeff makes payments at the end of each year into an account for 10 years.
The present value of Jeff's payments is 5,000. Ryan makes a payment equal
to Jeff's payment at the beginning of each year for 11 years into the same
account. The present value of Ryan's payments is 5,900.
Calculate the amount of Jeff's payment.
**we cannot use excel**
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