You have estimated that 10 years from today, you will need $55,000 to buy your dream...

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You have estimated that 10 years from today, you will need $55,000 to buy your dream car. You have $15,000 in the bank on which you get a quarterly compounded annual rate of 8%. But that won't be enough. You will have to start putting equal amount of money every year so that your total savings becomes $55,000 in 6 years. This annual savings of yours will only earn 6% compounded annually, not quarterly. How much should that amount be to reach your goal? You have estimated that 10 years from today, you will need $55,000 to buy your dream car. You have $15,000 in the bank on which you get a quarterly compounded annual rate of 8%. But that won't be enough. You will have to start putting equal amount of money every year so that your total savings becomes $55,000 in 6 years. This annual savings of yours will only earn 6% compounded annually, not quarterly. How much should that amount be to reach your goal?

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