Question
Mark wants to withdraw $6,500 at the end of three years and $8,000 at the end of five years. He wants to do this in
Mark wants to withdraw $6,500 at the end of three years and $8,000 at the end of five years. He wants to do this in such a way that the account balance drops to zero after the last withdrawal. Assuming that the interest rate is 5%, how much money should Mark deposit today to ensure that his needs are met?
-
$6,268.21
-
$5,614.94
-
$11,883.15
-
$653.26
Mark wants to withdraw $6,500 at the end of three years and $8,000 at the end of five years. He wants to do this in such a way that the account balance drops to zero after the last withdrawal. Assuming that the interest rate is 5%, how much money should Mark deposit today to ensure that his needs are met?
-
$6,268.21
-
$5,614.94
-
$11,883.15
-
$653.26
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Public Finance And Public Policy
Authors: Arye L. Hillman
2nd Edition
0521738059, 978-0521738057
