On January 1, 2011, Austin Auto Company decided to accumulate a fund to build an addition to its plant. The company will deposit $320,000 in the fund at each year-end, starting on December 31, 2011. The fund will earn 9 percent interest, which will be added to the balance at each year-end. The accounting period ends December 31.

Required:

1. What will be the balance in the fund immediately after the December 31, 2013, deposit?

2. Complete the following fund accumulation schedule:

Date     Cash Payment          Interest Revenue       Fund Increase            Fund Balance

12/31/2011

12/31/2012

12/31/2013

Total