Suppose you start saving today for a $10,000 down payment that you plan to make on a house in 5 years. ASsume that you make no deposits into the account after your initial deposit. The account has annual compounding and an APR of 2.7%. How much would you need to deposit now to reach your $10,000 goal in 5 years? O $8738:48 O $8752.82 O $8741.12 O $8812.82

College Algebra
1st Edition
ISBN:9781938168383
Author:Jay Abramson
Publisher:Jay Abramson
Chapter9: Sequences, Probability And Counting Theory
Section9.4: Series And Their Notations
Problem 56SE: To get the best loan rates available, the Riches want to save enough money to place 20% down on a...
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QUESTION 21
Solve the problem.
Suppose you start saving today for a $10,000 down payment that you plan to make on a house in 5 years. Assume that you make no deposits into
the account after your initial deposit. The account has annual compounding and an APR of 2.7%. How much would you need to deposit now to
reach your $10,000 goal in 5 years?
O $8738:48
O $8752.82
O $8741.12
O $8812.82
Transcribed Image Text:QUESTION 21 Solve the problem. Suppose you start saving today for a $10,000 down payment that you plan to make on a house in 5 years. Assume that you make no deposits into the account after your initial deposit. The account has annual compounding and an APR of 2.7%. How much would you need to deposit now to reach your $10,000 goal in 5 years? O $8738:48 O $8752.82 O $8741.12 O $8812.82
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