You want to be able to withdraw $4000 from an account at the end of each year for the next 19 years.  How much money should you invest now into an account earning 6.6% interest per year, compounded annually, in order to fund the desired withdrawals?  Assume the account is empty after the last withdrawal is made

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 24P
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You want to be able to withdraw $4000 from an account at the end of each year for the next 19 years.  How much money should you invest now into an account earning 6.6% interest per year, compounded annually, in order to fund the desired withdrawals?  Assume the account is empty after the last withdrawal is made.

 

Give the answer to 2 decimal places, and do not use the $ sign in the answer box.

 

The amount to invest now is  Blank 1. Calculate the answer by read surrounding text. dollars.

 

 

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