Walter deposits a fixed quarterly amount into an annuity account for his child's college fund. He wishes to accumulate a future value of $⁢80,000 in 12 years. Assuming an APR of 3.7% compounded quarterly, how much of the $⁢80,000 will Walter ultimately deposit in the account, and how much is interest earned? Round your answers to the nearest cent, if necessary.

Walter deposits a fixed quarterly amount into an annuity account for his child's college fund. He wishes to accumulate a future value of $⁢80,000 in 12 years. Assuming an APR of 3.7% compounded quarterly, how much of the $⁢80,000 will Walter ultimately deposit in the account, and how much is interest earned? Round your answers to the nearest cent, if necessary.

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications

Section: Chapter Questions

Problem 15E

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