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Bob Sarto Motor Company Wants to Accumulate $1,400,000 to Pay

Question 14

Essay

Bob Sarto Motor Company wants to accumulate $1,400,000 to pay off an equipment balloon note due in 3 years.
How much should Bob Sarto Motor Company deposit each quarter beginning one quarter from today to accumulate the amount required if the bank pays 4% annual interest compounded quarterly?

Correct Answer:

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N = 12 (3 * 4) I/Y =...

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