Problem H02-01 (Points: 1/4). Topic: Equivalence.

Suppose that you have a savings plan covering the next ten years, according to which you put aside $600 today, $500 at the end of every other year for the next five years, and $400 at the end of each year for the remaining five years. As part of this plan, you expect to withdraw $300 at the end of every year for the first 3 years, and $350 at the end of every other year thereafter.

1. [Points: 0.2/4] Tabulate your cash flows using the following template:

End of Year	Savings	Withdrawals	Cash Flows
0
1
...
9
10

2. [Points: 0.2/4]Draw your cash flow diagram.
3. [Points: 0.4/4] Tabulate the progression savings account throughout the years using the following template:

4. Year	Amount at the Beginning of the Interest Period	+ Interest for the period	= Amount at the End of the Interest Period
   0
   1
   ...
   9
   10

5. [Points: 0.1/4] What is the final balance at the end of the 10^th year for a yearly interest rate of 1.5%?
6. [Points: 0.1/4] How much profit you made in those 10 years?