Your bank pays 8% interest, compounded annually. Use the appropriate formula to find how much you should deposit now to yield an annuity payment of $700 at the END of each year, for 8 years. A.$4,022.65 B.$4,344.46 C.$4,372.82 D.$6,195.96
Your bank pays 8% interest, compounded annually. Use the appropriate formula to find how much you should deposit now to yield an annuity payment of $700 at the END of each year, for 8 years. A.$4,022.65 B.$4,344.46 C.$4,372.82 D.$6,195.96
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 24P
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Your bank pays 8% interest, compounded annually. Use the appropriate formula to find how much you should deposit now to yield an annuity payment of $700 at the END of each year, for 8 years.
A.$4,022.65
B.$4,344.46
C.$4,372.82
D.$6,195.96
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