An accounting firm agrees to purchase a computer for $180,000 (cash on delivery) and the delivery date is in 270 days. How much do the owners need to deposit in an account paying 0.85% compounded quarterly so that they will have $180,000 in 270 days? (a) State the type. sinking fund amortization present value future value ordinary annuity (b) Answer the question. (Round your answer to the nearest cent.) $

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A:

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A: Future Value  $          1,80,000.00 Time Period 3 Interest Rate 0.80%

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Q: please step by step solution.

A: The present value of an ordinary annuity can be calculated using the formula:PV = PMT × ((1 - (1 +…

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