Mr. Rambo wants to save for a new pickup that he expects will cost 1,900,000 four and one-half years from now. How much money will he have to save each year and deposit in a savings account that pays 6.25% per year, compounded annually, to buy the car in four and one-half years? Draw cash flow diagram
Mr. Rambo wants to save for a new pickup that he expects will cost 1,900,000 four and one-half years from now. How much money will he have to save each year and deposit in a savings account that pays 6.25% per year, compounded annually, to buy the car in four and one-half years? Draw cash flow diagram
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 20PROB
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Mr. Rambo wants to save for a new pickup that he expects will cost 1,900,000 four and one-half
years from now. How much money will he have to save each year and deposit in a savings account
that pays 6.25% per year, compounded annually, to buy the car in four and one-half years? Draw
cash flow diagram
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