Mr & Mrs. John have decided to start a monthly savings program in order to provide for their son's college education. How much should they deposit at the end of each month in a savings account earning interest at the rate of 6%/year compounded monthly so that at the end of the tenth year the accumulated amount will be RM50,000?

Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money
Section: Chapter Questions
Problem 9.17E
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Mr & Mrs. John have decided to start a monthly savings program in order to provide
for their son's college education. How much should they deposit at the end of each
month in a savings account earning interest at the rate of 6%/year compounded monthly
so that at the end of the tenth year the accumulated amount will be RM50,000?
Transcribed Image Text:Mr & Mrs. John have decided to start a monthly savings program in order to provide for their son's college education. How much should they deposit at the end of each month in a savings account earning interest at the rate of 6%/year compounded monthly so that at the end of the tenth year the accumulated amount will be RM50,000?
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