You wish to accumulate $1 million 15 years from now. You will make 15 bank deposits in
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You wish to accumulate $1 million 15 years from now. You will make 15 bank deposits in your bank with today marking the first payment. Your bank pays 4.5% interest compounded annually. You anticipate inflation to be 2.5% and will increase your annual deposit to the bank each year by that same 2.5% each year. How much must your first deposit be to meet your goal?
Related Book For
Corporate Finance A Focused Approach
ISBN: 978-1439078082
4th Edition
Authors: Michael C. Ehrhardt, Eugene F. Brigham
Posted Date: