Amit Cheeda has a welding business that primarily services heavy equipment on highway construction projects. Amit plans to replace equipment in 5 years, but he does not want to borrow the money. Therefore, he makes 20 quarterly deposits into a sinking fund that will earn 6% compounded quarterly. How much should Amit deposit each quarter if he wants to have $50,000 after the 5 years? Use Tables 23-1A and 23-1B or a calculator.

Question

Amit Cheeda has a welding business that primarily services heavy equipment on highway construction projects. Amit plans to replace equipment in 5 years, but he does not want to borrow the money. Therefore, he makes 20 quarterly deposits into a sinking fund that will earn 6% compounded quarterly. How much should Amit deposit each quarter if he wants to have $50,000 after the 5 years? Use Tables 23-1A and 23-1B or a calculator.​

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The Answer of Amit Cheeda has a welding business that primarily services heavy equipment on highway construction projects. Amit plans to replace equipment in 5 years, but he does not want to borrow the money. Therefore, he makes 20 quarterly deposits into a sinking fund that will earn 6% compounded quarterly. How much should Amit deposit each quarter if he wants to have $50,000 after the 5 years? Use Tables 23-1A and 23-1B or a calculator.​

Amit Cheeda Has a Welding Business That Primarily Services Heavy