If you need $40,000 for your son's education in 10 years, how much must you deposit at the beginning of each year in the bank earning 6 percent in order to have the college money ready? Annuity Due! Payments are at the beginning of each year FV N Rate PMT ? years yearly yearly NOTE: AT THE BEGINNING OF EACH YEAR!

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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If you need $40,000 for your son's education in 10 years, how much must you deposit at the beginning of each
year in the bank earning 6 percent in order to have the college money ready?
Annuity Due! Payments are at the beginning of each year
FV
N
Rate
PMT ?
PMT
years
yearly
yearly
NOTE: AT THE BEGINNING OF EACH YEAR!
Transcribed Image Text:If you need $40,000 for your son's education in 10 years, how much must you deposit at the beginning of each year in the bank earning 6 percent in order to have the college money ready? Annuity Due! Payments are at the beginning of each year FV N Rate PMT ? PMT years yearly yearly NOTE: AT THE BEGINNING OF EACH YEAR!
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