An instructor plans to retire in exactly one year and want an account that will pay him P26 000 a year for the next 15yrs. Assuming a 6% annual effective interest rate, what is the amount(P) he would need to deposit now? (The fund will be deposited after 15yrs).
An instructor plans to retire in exactly one year and want an account that will pay him P26 000 a year for the next 15yrs. Assuming a 6% annual effective interest rate, what is the amount(P) he would need to deposit now? (The fund will be deposited after 15yrs).
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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