Question: Create Excel Model a. Use an average percentage increase in housing prices g=3% per year b. Use an average interest rate earned on the sinking
Create Excel Model a. Use an average percentage increase in housing prices g=3% per year b. Use an average interest rate earned on the sinking fund r=5% per year c. Initially, assume it will take t=4 years to accumulate FV. (t will be varied in parts 3&4 below.) Use $130,000 as starting deposit. Make a 1-way Data Table in which the time to accumulate FV varies from 2 to 6 years in 1year increments, and the output columns are D and FV. n= total number on months makng deposits| FV=$154,321(1+g)t The interest rate earned per month is i=r/12. The monthly deposit D needed to reach your goal in t years is D=(iF)/[(1+i)n1], where n is the total number of months over which you'll be making deposits
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