Use the following time value of money tables for Questions 1-4. Round answers to the nearest dollar. (The annual interest rate for all problems is 6%.)   n = 3; i = 6% n = 6; i = 3% Future value of 1 1.19102 1.19405 Present value of 1 .83962 .83748 Future value of an annuity 3.18360 6.46841 Present value of an annuity 2.67301 5.41719 Redlands Inc. will need $4,000 on December 31, 2022. The firm will deposit money into a savings account on January 1, 2020, so that it will grow to be $4,000. The account earns annual interest. The amount Redlands must deposit on January 1, 2020, is $

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Use the following time value of money tables for Questions 1-4. Round answers to the nearest dollar. (The annual interest rate for all problems is 6%.)

 

n = 3; i = 6%

n = 6; i = 3%

Future value of 1

1.19102

1.19405

Present value of 1

.83962

.83748

Future value of an annuity

3.18360

6.46841

Present value of an annuity

2.67301

5.41719

Redlands Inc. will need $4,000 on December 31, 2022. The firm will deposit money into a savings account on January 1, 2020, so that it will grow to be $4,000. The account earns annual interest. The amount Redlands must deposit on January 1, 2020, is $

 

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