Company deposit today to fully fund equipment purchase

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Reference no: EM13875988

Skyline Industries will need $1.8 million 5 years from now to replace some equipment. Currently, the firm has some extra cash and would like to establish a savings account for this purpose. The account pays 5.25 percent interest, compounded annually. How much money must the company deposit today to fully fund the equipment purchase?

$1,298,407.21

$1,350,868.47

$1,279,947.20

$1,412,308.18

$1,393,676.52

Reference no: EM13875988

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