If you owned a property that you expect will require a new $2,500 roof at the end of five years from today, how much would you set aside in equal installments from income each year to be assured of having the necessary capital? You can reinvest your capital at 10 percent annual interest.

Answer rating: 100% (QA)

To calculate the amount that needs to be set aside in equal installments each year we can use the pr... View the full answer