Aunt Darla has agreed to deposit a lump sum into an account that pays 12% interest compounded annually in order to education. The niece estimated that she will need to withdraw $40,000 at the beginning of each year for four years to and books. Aunt Darla will deposit the lump sum on August 1, 2016, and the niece will make the first withdrawal on A
Required:
Determine the amount that Aunt Darla must deposit. Clearly label all work.

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The Answer of Aunt Darla has agreed to deposit a lump sum into an account that pays 12% interest compounded annually in order to education. The niece estimated that she will need to withdraw $40,000 at the beginning of each year for four years to and books. Aunt Darla will deposit the lump sum on August 1, 2016, and the niece will make the first withdrawal on A
Required:
Determine the amount that Aunt Darla must deposit. Clearly label all work.

Aunt Darla Has Agreed to Deposit a Lump Sum into an Account