Our cat, Fred, has convinced me that I should set up an account that will assure him of his Meow Mix for the next 4 years. I will deposit an amount P today that will permit Fred to make end-of-the-month withdrawals of $10 for the next 48. months. Consider an interest rate of 6% compounded monthly and that the account will be emptied with the last withdrawal.
(a) What is the value of P that I must deposit today?
(b) What is the account balance immediately after the 24th withdrawal has been made?