A sum of money is deposited in a bank account for 10 years at an interest rate of 5% / year for the first 5 years and 8% / year for the last 5 years. In addition, 10,000 $ are deposited at year 4 and 11,000 $ are withdrawn at year 8. The future worth at period 10 of the discussed cash flow is 14,200 $. What is the sum of money initially deposited in the bank?

A sum of money is deposited in a bank account for 10 years at an interest rate of 5% / year for the first 5 years and 8% / year for the last 5 years. In addition, 10,000 $ are deposited at year 4 and 11,000 $ are withdrawn at year 8. The future worth at period 10 of the discussed cash flow is 14,200 $. What is the sum of money initially deposited in the bank?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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