Question: Can someone help me with this problem? You would like to have $4,500 in 4 years for a special vacation following graduation by making deposits
Can someone help me with this problem?
You would like to have $4,500 in 4 years for a special vacation following graduation by making deposits at the end of every six months in an annuity that pays 4.5% compounded semiannually. a. Use one of the formulas below to determine how much you should deposit at the end of every six months. r nt r P 1 + -1 A _ n _ n _ r P _ r nt F [\"3] '1] b. How much of the $4,500 comes from deposits and how much comes from interest? a. In order to have $4,500 in 4 years, you should deposit SSE at the end of every six months. (Do not round until the nal answer. Then round up to the nearest dollar.) b. $E| of the $4,500 comes from your deposits and $E| comes from interest. (Use the answer from part a to nd this answer. Round to the nearest dollar as needed.)Step by Step Solution
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