Question
It is now January 1 . You plan to make a total of 5 deposits of $100 each, one every 6 months, with the first
It is now January 1 . You plan to make a total of 5 deposits of $100 each, one every 6 months, with the first payment being made today. The bank pays a nominal interest rate of 10% but uses semiannual compounding. You plan to leave the money in the bank for 10 years. Do not round intermediate calculations. Round your answers to the nearest cent.
a. How much will be in your account after 10 years? $
b. You must make a payment of $1,468.08 in 10 years. To get the money for this payment, you will make five equal deposits, beginning today and for the following 4 quarters, in a bank that pays a nominal interest rate of
** PLEASE ANS BOTH PARTS USING EXCEL AND ITS FUNCTIONS WHERE NEEDED. PLEASE EXPLAIN STEPS TAKEN THANK YOU!**
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