You plan to make a series of deposits in an individual retirement account. You will deposit...
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You plan to make a series of deposits in an individual retirement account. You will deposit $1,000 today, $2,000 in two years and $2,000 in five years. If you withdraw $1,500 in three years and $1,000 in seven years, assuming no withdrawal peanalty, how much will you have after eight years if the interest rate is 7%? What is the present value of these cash flows? Draw the time line and locate the cash flows accordingly. You plan to make a series of deposits in an individual retirement account. You will deposit $1,000 today, $2,000 in two years and $2,000 in five years. If you withdraw $1,500 in three years and $1,000 in seven years, assuming no withdrawal peanalty, how much will you have after eight years if the interest rate is 7%? What is the present value of these cash flows? Draw the time line and locate the cash flows accordingly.
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Related Book For
Principles Of Managerial Finance
ISBN: 978-0136119463
13th Edition
Authors: Lawrence J. Gitman, Chad J. Zutter
Posted Date:
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