Question
You are going to withdraw $1000 each year for the next 3 years from an account that pays interest at a rate of 8% compounded
You are going to withdraw $1000 each year for the next 3 years from an account that pays interest at a rate of 8% compounded quarterly. How much must be there in account today in order for the account to reduce a balance of zero after last withdrawal?
a)793.83
b)2577.10
c)2,643.84
d)2713.75
Please solve this question using ba11 + financial calculator. As this is an annuity please explain how to set up calculator? Please tell step by step calculator functions.
If correct answer is not in list of options, Please solve accordingly and tell me right answer
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