Question
Jennifer invests an amount L into a fund at the beginning of each year for 20 years. At the end of year 20, she uses
Jennifer invests an amount L into a fund at the beginning of each year for 20 years. At the end of year 20, she uses the fund to buy a perpetuity that pays 1000 at the end of each month. The effective annual interest rate for both transactions is 10%. Calculate L.
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Answer L is 199048 fv 8 geaily L innestment is egual to Pu 2 Monthl4 Peepetil5 3 1o0 remls M...
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Principles of Accounting
Authors: Belverd E. Needles, Marian Powers and Susan V. Crosson
12th edition
978-1133603054, 113362698X, 9781285607047, 113360305X, 978-1133626985
