How large an annual deposit is required to meet objective

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Reference no: EM13974543

Jill Hill wishes to accumulate $100,000 twelve years from today by making an equal annual deposit into an account that pays 8 percent, compounded quarterly.

a. What is the effective annual interest rate?

b. How large an annual deposit is required to meet Jill’s objective?

c. How large an annual deposit is required if the deposits are made at the beginning of each year?

Reference no: EM13974543

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