You want to buy a place to live soon after graduation. You can purchase a small place for $250,000. You will a 10% down payment. How much should you put into an account earning 4% per year in order that you will have the necessary down payment in 5 years time?

Select one:

a. $20,584

b. $21,542

c. $21,524

d. $155,230

e. $20,548