Today, you wish to deposit exactly enough (no more nor less than required) to allow you to make fifteen annual end-of-year withdrawals, starting six years from today as shown below: 

 

 YEAR                     END-OF-YEAR WITHDRAWAL 

  6                                   $1,000 (1.05)1   

  7                                   $1,000 (1.05)2 

   .   

   .  

   .   

 20                              $1,000 (1.05)15 + $6,000 

 

What must the amount of this deposit be, if the account into which the deposit is made offers 10 percent compounded annually during years 1 through 5 and switches to 12.35 percent compounded annually there after?