Exercise #7 Janine has an investment account with a present value of $5,053. The account earns interest at 6% per year compounded annually. She intends to withdraw $500 at the end of each year. Assume that the present time (period 0) is January 1, 2022 and the first withdrawal will take place on December 31, 2022. How many withdrawals can Janine make before her account balance shrinks to $0? PVOA $5,053 1/1/22 0 $500 1 year - 1 year 12/31/22 1 $500 $500 $500 $500 - 1 year 12/31/23 12/31/24 - 1 year 12/31/25 12/31/?? 2 3 4 ? n = ?? years; i = 6% per year $500 1 year 12/31/?? n=?? Calculation of Exercise #7 using the PVOA Table Solving for n (the number of periods/payments in an ordinary annuity) is done with the following equation: PVOA = PMT times [ PVOA factor = for n = ?? years; i = 6% per year ] $5,053 = $500 times [PVOA factor = for n = ?? years; i = 6% per year ] $5,053 / $500 = [ PVOA factor = for n = ?? years; i = 6% per year ] 10.106 [PVOA factor = for n = ?? years; i = 6% per year ] 10.106 PVOA factor = for n = 16 years; i = 6% per year =