Suppose that Nam Banh deposits his $12,500 bonus in an account that earns 8%, compounded quarterly, and

Question:

Suppose that Nam Banh deposits his $12,500 bonus in an account that earns 8%, compounded quarterly, and makes additional deposits of $500 at the end of each quarter for the next 2212years, until he retires. To supplement his retirement, Nam wants to make withdrawals at the end of each quarter for the next 12 years (at which time the account balance will be $0).

(a) How much is in the account after the last deposit is made?

(b) How much was deposited?

(d) What is the total amount withdrawn?