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Harlan Corporation deposits $100,000 every June 30th and December 31st in a savings account (beginning in the current year) for the next two years so
Harlan Corporation deposits $100,000 every June 30th and December 31st in a savings account (beginning in the current year) for the next two years so that it can purchase a new piece of machinery at the end of two years. The interest rate is 4%. How much money will Harlan Corporation have at the end of two years? Use the future value of an ordinary annuity factor table shown below to derive your answer. Periods 1% 2% 3% 4% 2.01000 3.03010 4.06040 5.10101 6.15202 7.21354 8.28567 9.36853 10.46221 2.02000 3.06040 4.12161 5.20404 6.30812 7.43428 8.58297 9.75463 10.94972 2.03000 3.09090 4.18363 5.30914 6.46841 7.66246 8.89234 10.15911 11.46388 2.04000 3.12160 4.24646 5.41632 6.63298 7.89829 9.21423 10.58280 12.00611
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