A company is planning to make s deposit such that each one 6% larger than the preceding one. How large must the second deposit be (at the end of year 2) if the deposit extended till year 15 and that fourth deposit is $1250? Use an interest rate of 10% per year

A company is planning to make s deposit such that each one 6% larger than the preceding one. How large must the second deposit be (at the end of year 2) if the deposit extended till year 15 and that fourth deposit is $1250? Use an interest rate of 10% per year

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

A company is planning to make s deposit such that each one 6% larger
than the preceding one. How large must the second deposit be (at the
end of year 2) if the deposit extended till year 15 and that fourth deposit
is $1250? Use an interest rate of 10% per year
Select one:
A. 1245.5
B. 10012.5
C. 1112.5
D. 18345
E. 11212

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