If you want to withdraw $20,000 at the end of two years and $55,000 at the end of four years, how much should you deposit now into an account that pays 12 % interest compounded MONTHLY?
If you want to withdraw $20,000 at the end of two years and $55,000 at the end of four years, how much should you deposit now into an account that pays 12 % interest compounded MONTHLY?
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter19: The Basic Tools Of Finance
Section: Chapter Questions
Problem 1CQQ
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If you want to withdraw $20,000 at the end of two years and $55,000 at the end of four years,
how much should you deposit now into an account that pays 12 % interest compounded MONTHLY? See the accompanying cash flow diagram.
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