8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain $750,000? 9) The amount from #8 is more than you can afford, so you decide to invest a constant amount, R(t) dollars per year. Find R(t) such that the accumulated future value of the continuous money stream is $750,000, assuming an interest rate of 1.6%, compounded continuously.
8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain $750,000? 9) The amount from #8 is more than you can afford, so you decide to invest a constant amount, R(t) dollars per year. Find R(t) such that the accumulated future value of the continuous money stream is $750,000, assuming an interest rate of 1.6%, compounded continuously.
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 34P
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![8-9. You want to have $750,000 on your 70th birthday, and you are 25 right now.
8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain
$750,000?
9) The amount from #8 is more than you can afford, so you decide to invest a constant
amount, R(t) dollars per year. Find R(t) such that the accumulated future value of the
continuous money stream is $750,000, assuming an interest rate of 1.6%, compounded
continuously.
H](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F004d3ad7-2efe-44d1-8faa-7c8366c962a5%2F7cf71bf5-7890-4ca8-ba9b-c9f96cea0674%2Fsfouafh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:8-9. You want to have $750,000 on your 70th birthday, and you are 25 right now.
8) What lump sum should you deposit now at 1.6%, compounded continuously, to attain
$750,000?
9) The amount from #8 is more than you can afford, so you decide to invest a constant
amount, R(t) dollars per year. Find R(t) such that the accumulated future value of the
continuous money stream is $750,000, assuming an interest rate of 1.6%, compounded
continuously.
H
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