If Sharon's parents wanted to accumulate an account balance of $17,500 by her 18th birthday, then how much should they have placed on deposit on her first birthday?

$6,499

$6,131

$1,750

$10,980

Now let's use these fundamental concepts to answer questions involving several different situations.

Interest Factors
Periods	4.50%	5.00%	5.50%	6.00%	6.50%	7.00%	7.50%	8.00%	8.50%	9.00%
7	1.3609	1.4071	1.4547	1.5036	1.5540	1.6058	1.6590	1.7138	1.7701	1.8280
8	1.4221	1.4775	1.5347	1.5938	1.6550	1.7182	1.7835	1.8509	1.9206	1.9926
9	1.4861	1.5513	1.6191	1.6895	1.7626	1.8385	1.9172	1.9990	2.0839	2.1719
10	1.5530	1.6289	1.7000	1.7908	1.8771	1.9672	2.0610	2.1589	2.2610	2.3674
11	1.6229	1.7103	1.8021	1.8983	1.9992	2.1049	2.2156	2.3316	2.4532	2.5804
12	1.6959	1.7959	1.8832	2.0122	2.1291	2.2522	2.3818	2.5182	2.6617	2.8127
13	1.7722	1.8856	1.9868	2.1329	2.2675	2.4098	2.5604	2.7196	2.8879	3.0658
14	1.8519	1.9799	2.0961	2.2609	2.4149	2.5785	2.7524	2.9372	3.3134	3.3417
15	1.9353	2.0789	2.2114	2.3966	2.5718	2.7590	2.9589	3.1722	3.3997	3.6425
16	2.0224	2.1829	2.3553	2.5404	2.7390	2.9522	3.1808	3.4259	3.6887	3.9703
17	2.1134	2.2920	2.4848	2.6928	2.9170	3.1588	3.4194	3.7000	4.0023	4.3276
18	2.2085	2.4066	2.6215	2.8543	3.1067	3.3799	3.6758	3.9960	4.3425	4.7171
19	2.3079	2.5270	2.7656	3.0256	3.3086	3.6165	3.9515	4.3157	4.7116	5.1417
20	2.4117	2.6533	2.9178	3.2071	3.5236	3.8697	4.2479	4.6610	5.1120	5.6044
21	2.5202	2.7860	3.0782	3.3996	3.7527	4.1406	4.5664	5.0338	5.5466	6.1088
22	2.6337	2.9253	3.2475	3.6035	3.9966	4.4304	4.9089	5.4365	6.0180	6.6586
23	2.7522	3.0715	3.4262	3.8197	4.2564	4.7405	5.2771	5.8715	6.5296	7.2579