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Adams Bowie is trying to determine the amount to set aside so that he will have enough money on hand in 5 years to overhaul

Adams Bowie is trying to determine the amount to set aside so that he will have enough money on hand in 5 years to overhaul the engine on his vintage used car. While there is some uncertainty about the cost of engine overhauls in 5 years, by conducting some research online, Adams has developed the following estimates.

Engine Overhaul Estimated Cash Flow Probability Assessment
$280 10%
640 30%
760 50%
790 10%

How much should Adam Bowie deposit today in an account earning 9%, compounded annually, so that he will have enough money on hand in 5 years to pay for the overhaul?

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