It is desired to make an initial lump sum investment that will provide for a withdrawal of P 5000 at the end of year, P6000 at the end of year 2, and amounts increasing P1000 per year to a final P24000 at the end of year 20. How great is initial investment will be required if it earns 5% compounded annually? a. 160700 b. 160600 c. 160800 d. 160500

It is desired to make an initial lump sum investment that will provide for a withdrawal of P 5000 at the end of year, P6000 at the end of year 2, and amounts increasing P1000 per year to a final P24000 at the end of year 20. How great is initial investment will be required if it earns 5% compounded annually? a. 160700 b. 160600 c. 160800 d. 160500

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 27P

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