Question 5 3. 1 3 4 EOY 6. 7 8. 9. 10 20 21 22 23 24 25 26 27 28 29 30 CF $300 A2 Аз A4 As Five deposits are made at the EOYS 2021-2025, as shown in the CF table above. The deposit amounts decrease by 10% every year. If the interest rate is 6% compounded annually, what is the amount in the account at the end of 2030?
Question 5 3. 1 3 4 EOY 6. 7 8. 9. 10 20 21 22 23 24 25 26 27 28 29 30 CF $300 A2 Аз A4 As Five deposits are made at the EOYS 2021-2025, as shown in the CF table above. The deposit amounts decrease by 10% every year. If the interest rate is 6% compounded annually, what is the amount in the account at the end of 2030?
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
Section: Chapter Questions
Problem 1PS
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This can be considered as a case of decreasing annuity in which the annuity amount is declining by 10% each year for the next 4 years.
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