Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on the day of his daughter's birth, a father decid

On the day of his daughter's birth, a father decided toestablish a fund for...

60.1K

Verified Solution

Question

Accounting

On the day of his daughter's birth, a father decided toestablish a fund for her college education. The father wants to beable to withdraw $4000 from the fund on her 18th, 19th, 20th and21st birthdays. If the fund earns interest at 9% per year,compounded quarterly, how much should the father deposit at the endof each year, up through the 17th year?

a.) $465.31 b.) $380.71 c.) $338.41 d.) $423.01 e.) None of theabove

Answer & Explanation Solved by verified expert
3.8 Ratings (357 Votes)
Step 1 Calculation of Present Value at the end of 17thyear Amount to be withdrawn each year from 18th year to 21st year 4000 Quarterly Interest rate 94    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Transcribed Image Text

In: AccountingOn the day of his daughter's birth, a father decided toestablish a fund for her...On the day of his daughter's birth, a father decided toestablish a fund for her college education. The father wants to beable to withdraw $4000 from the fund on her 18th, 19th, 20th and21st birthdays. If the fund earns interest at 9% per year,compounded quarterly, how much should the father deposit at the endof each year, up through the 17th year?a.) $465.31 b.) $380.71 c.) $338.41 d.) $423.01 e.) None of theabove

Other questions asked by students

Q

Here are simplified financial statements for Phone Corporation in a recent year:    INCOME STATEMENT (Figures in $ millions)   Net...

Finance
Q

PART A- Ethylamine, an organic amine, C2H5NH2, a weak base with Kb of 8.3×10−5, reacts with water...

Chemistry
Q

why are Co2+ complexes labile with respect to ligand exchange while Co3+ complexes are relatively inert?

Chemistry
Q

Make a public class Creater that provides a single class (static) method named subtractor. subtractor takes...

Programming
Q

How do institutions of our society reinforce privilege? Examples? Why do you think people are so resistant...

Psychology
Q

Which of the following statements is CORRECT Archaeal cell walls Oare disrupted by treatment with...

Biology
Q

A survey found that people keep their televisions an average of 5 9 years The...

Basic Math
Q

You deposit $2000 in an account earning 7% interest compounded monthly. How much will you...

Basic Math
Q

a Consider the following Describe how the model is used to add two integers positive...

Algebra
Q

5. Wingate Company has the following information available for three divisions of the company: ...

Accounting
Q

Required information [The following information applies to the questions displayed below.] Athletic Performance Company (APC)...

Accounting
Q

Bramble Industries had sales in 2021 of $ 5,548,800 and gross profit of $ 897,600....

Accounting