The interest rate is 3.6% per annum (p.a.). We want to save 100,000 kroner by making fixed payments at the beginning of each month, the first 1 June 2022. a) How much must you pay in each month if you want to have achieved the savings amount immediately after the payment on 1 January 2026? b) Ida starts by depositing 2000 kroner on 1 June 2022 and then she increases the payment amount by five percent for each payment. How much does Ida have in her account on January 1, 2026?

The interest rate is 3.6% per annum (p.a.). We want to save 100,000 kroner by making fixed payments at the beginning of each month, the first 1 June 2022. a) How much must you pay in each month if you want to have achieved the savings amount immediately after the payment on 1 January 2026? b) Ida starts by depositing 2000 kroner on 1 June 2022 and then she increases the payment amount by five percent for each payment. How much does Ida have in her account on January 1, 2026?

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications

Section: Chapter Questions

Problem 12E

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