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In 4 years, you will start receiving monthly payments of $1000 from a trust fund that one of your great parents set up for you.
In 4 years, you will start receiving monthly payments of $1000 from a trust fund that one of your great parents set up for you. The first payment will be made at the very end of year 4 and the payments will last for 33 years. You plan to deposit the money you receive every month into a special account right away that pays 6.80% APR with quarterly compounding. Today the account mentioned above has a balance of $13000. Assuming that interest rate will stay constant, what will be the account balance at the end of the 12th year?
In 4 years, you will start receiving monthly payments of $1000 from a trust fund that one of your great parents set up for you. The first payment will be made at the very end of year 4 and the payments will last for 33 years. You plan to deposit the money you receive every month into a special account right away that pays 6.80% APR with quarterly compounding.
Today the account mentioned above has a balance of $13000.
Assuming that interest rate will stay constant, what will be the account balance at the end of the 12th year?
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Fundamentals of corporate finance
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
10th edition
978-1260013955, 78034639, 978-0078034633
