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How much must be deposited today into the following account in order to have $75,000 in 8 years for a down payment on a house? Assume no additional deposits are made. An account with annual compounding and an APR of 4%

How much must be deposited today into the following account in order to have $75,000 in 8 years for a down payment on a house? Assume no additional deposits are made. An account with annual compounding and an APR of 4%

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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How much must be deposited today into the following account in order to have $75,000 in 8 years for a down payment on a house? Assume no additional deposits are made. An account with annual compounding and an APR of 4% should be deposited today. (Do not round until the final answer. Then round to the nearest cent as needed.)
Transcribed Image Text:How much must be deposited today into the following account in order to have $75,000 in 8 years for a down payment on a house? Assume no additional deposits are made. An account with annual compounding and an APR of 4% should be deposited today. (Do not round until the final answer. Then round to the nearest cent as needed.)
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