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Exercise 6-21 Henry Bowie is trying to determine the amount to set aside so that he will have enough money on hand in 6 years
Exercise 6-21 Henry Bowie is trying to determine the amount to set aside so that he will have enough money on hand in 6 years to overhaul the engine on his vintage used car. While there is some uncertainty about the cost of engine overhauls in 6 years, by conducting some research online, Henry has developed the following estimates. Engine Overhaul Estimated Cash Outflow Probability Assessment $310 10% 510 30% 770 50% 760 10% Click here to view factor tables How much should Henry Bowie deposit today in an account earning 9%, compounded annually, so that he will have enough money on hand in 6 years to pay for the overhaul? (Round factor values to 5 decimal places, e.g. 1.251 24 and final answer to 0 decimal places, e.g. 458,581.) Deposit amount $
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