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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 five 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 five years so that it can purchase a new piece of machinery at the end of five years. The interest rate is 4%. How much money will Harlan Corporation have at the end of five 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 1 1.46388 2.04000 3.12160 4.24646 5.41632 6.63298 7.89829 9.21423 10.58280 12.00611 O A. $520,404 OB. $1,094,972 OC. $206,080 OD. $260,202
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