How much money should be deposited in a bank paying interest at the rate of 10% per year

compounded monthly so that at the end of 5 years the accumulated amount will be N50,000.00

The Federal Government of Nigeria has agreed to pool road tax resources already designated for

bridge refurbishment. At a recent meeting, the engineers estimated that a total of N 600,000.00

will be deposited at the ends of next year into an account for the repair old and safety

questionable bridges through out the area. Further they estimate the deposit will increase by

N100,000 per year for only 10 years thereafter, then ceases. Determine the equivalent:

(1)Present worth

(2)cash flow diagram and Present worth

(3)annual series amounts, if the public funds earn at a rate at a rate of 5% per year