Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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On a child's first birthday, a parent wishes to deposit enough money so that the child can withdraw $5000 per year for five years. If the first withdrawal will be on the child's 18th birthday, how much should the parent deposit? The rate is 5% annually.

On a child's first birthday, a parent wishes to
deposit enough money so that the child can
withdraw $5000 per year for five years. If
the first withdrawal will be on the child's
18th birthday, how much should the parent
deposit. The rate is 5% annually.
$21,647.38
$8994.93
$9916.91
$9444.68
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Transcribed Image Text:On a child's first birthday, a parent wishes to deposit enough money so that the child can withdraw $5000 per year for five years. If the first withdrawal will be on the child's 18th birthday, how much should the parent deposit. The rate is 5% annually. $21,647.38 $8994.93 $9916.91 $9444.68
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