Question
John wants to have a set amount of 40,000 saved in 8 years time. He plans to do this by making equal annual payments into
John wants to have a set amount of 40,000 saved in 8 years time. He plans to do this by making equal annual payments into a savings account, starting in one year's time.
The interest rate he can earn on the savings account is 5% per annum.
Calculate the annual payment amount that John must make to reach his savings goal (to the nearest euro).
| 6,818 | ||
| 4,189 | ||
| 5,000 | ||
| 6,189 |
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Public Finance Fundamentals
Authors: K. Moeti
3rd Edition
148512946X, 9781485129462
