To help you reach a $16,000 goal 8 years fromnow, your father offers to give you $4,000 now.You plan to get a part-time job and make five additional deposits, one at the end of each year. (The firstdeposit is made at the end of the first year.) If all yourmoney is deposited in a bank that pays 6% interest,how large must your annual deposit be?
To help you reach a $16,000 goal 8 years fromnow, your father offers to give you $4,000 now.You plan to get a part-time job and make five additional deposits, one at the end of each year. (The firstdeposit is made at the end of the first year.) If all yourmoney is deposited in a bank that pays 6% interest,how large must your annual deposit be?
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 3PB: Use the tables in Appendix B to answer the following questions. A. If you would like to accumulate...
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To help you reach a $16,000 goal 8 years from
now, your father offers to give you $4,000 now.
You plan to get a part-time job and make five additional deposits, one at the end of each year. (The first
deposit is made at the end of the first year.) If all your
money is deposited in a bank that pays 6% interest,
how large must your annual deposit be?
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