Kipling wants to have $43256 for a down payment on a house ten years from now. She can either deposit one lump sum today or she can wait two years and deposit a lump sum. Assume an annual interest rate of 1.4%. How much additional money must she deposit if she waits for two years rather than making the deposit today? A. 1076.20 B. 512.53 C. 1032.23 D. 519.70 E. 1061.34

Kipling wants to have $43256 for a down payment on a house ten years from now. She can either deposit one lump sum today or she can wait two years and deposit a lump sum. Assume an annual interest rate of 1.4%. How much additional money must she deposit if she waits for two years rather than making the deposit today? A. 1076.20 B. 512.53 C. 1032.23 D. 519.70 E. 1061.34

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter27: Time Value Of Money (compound)

Section: Chapter Questions

Problem 5E

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