Question
After taking Business classes you realize the importance of financial planning, and determine to deposit some money each year into your bank account for future
After taking Business classes you realize the importance of financial planning, and determine to deposit some money each year into your bank account for future investments. Since you were from New England area originally, you would like to accumulate $100,000 as your down payment for a house in suburban Boston so that you could enjoy the fun of snow plowing in winter. If you deposit $2,000 per year into an account that earns 10% interest per year compounded annually, how long does it take for you to accumulate the $100,000 target? If you would like to shorten the number of years to five years with the same 10% return annually, how much do you need to deposit per year at the end of each year? Please show in Excel format.
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