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1?

2?

3?

4?

5? +350,000

You want to accumulate $350,000 in five years to pay for a major HVAC replacement. Savings account interest rates are 2.5%

1, Referring to the above information, you are solving for payment (PMT)

True or False

2, Assuming annual payments, how much must be deposited each year to accumulate the desired amount?

A, $69,708.94

B, The amount can not be calculated with the information provided

C, $69,592

D, $66,586.40

3, The above t-bar is an example of a Sinking Fund calculation

True or False

4, This type of calculation is most often used for what kind of budgeting?

A, Capital budget

B, Annual operating budget

C, Cash flow budget

D, Lease up budget