Question
Olivia has $200,000 deposited today (at t = 0) in an account at the Nashua Savings Bank which pays an annual interest rate of 4.4%.
Olivia has $200,000 deposited today (at t = 0) in an account at the Nashua Savings Bank which pays an annual interest rate of 4.4%. If starting next year (at t = 1) she wants to start making 6 annual equal withdrawals depleting the entire account, how much can can Olivia take out per year to the nearest cent?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
To determine how much Olivia can withdraw from her account each year we need to calculate the accoun...
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Personal Finance
Authors: Thomas Garman, Raymond Forgue
12th edition
9781305176409, 1133595839, 1305176405, 978-1133595830
