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A person donated $160,000 to a university to establish a scholarship fund. What is unusual is that the entire amount came from what the person
A person donated $160,000 to a university to establish a scholarship fund. What is unusual is that the entire amount came from what the person was able to save each month over 80 years while working at a low-wage job. (a) How much would the person have to put into a savings account at the end of every 3 months to accumulate $160,000 over 80 years? Assume an interest rate of 5.75% compounded quarterly. (b) Answer part (a) using a 2% and a 6% interest rate. (a) The necessary deposit is $ at 5.75%. (Do not round until the final answer. Then round to the nearest cent as needed.)
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