It will cost $8,000,000 to purchase a building 8 years from now. How much money needs to be set aside each year, if it is invested at 10%?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 14EB: How much must be invested now to receive $50,000 for 8 years if the first $50,000 is received in one...
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It will cost $8,000,000 to purchase a building 8 years from
now. How much money needs to be set aside each year, if
it is invested at 10%?
Transcribed Image Text:It will cost $8,000,000 to purchase a building 8 years from now. How much money needs to be set aside each year, if it is invested at 10%?
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