You need $25,956 at the end of 10 years, and your only investment outlet is an / percent annually). With the certificate of deposit, you make an initial investment at the beginning of the first year. Use Appendix B and Appendix C for an approximate answer, but calculate your final answer using the formula and financial calculator methods. a. What single payment could be made at the beginning of the first year to achieve this objective? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Single payment made b. What amount could you pay at the end of each year annually for 10 years to achieve this same objective? (Do not round dinte calculations. Round your final answer to 2 decimal places.)
You need $25,956 at the end of 10 years, and your only investment outlet is an / percent annually). With the certificate of deposit, you make an initial investment at the beginning of the first year. Use Appendix B and Appendix C for an approximate answer, but calculate your final answer using the formula and financial calculator methods. a. What single payment could be made at the beginning of the first year to achieve this objective? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Single payment made b. What amount could you pay at the end of each year annually for 10 years to achieve this same objective? (Do not round dinte calculations. Round your final answer to 2 decimal places.)
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 44P
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