Compounded annually to meet all of these obligations

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Reference no: EM131067139

Morson & Colton Manufacturing is doing some financial planning. The company knows it will need to have $185885 to re-tool the manufacturing line in 14 years. It anticipates it will be receiving a lump sum of $59663 at the end of year 8 from a licensing deal with another manufacturer. It also knows it will need to do a minor upgrade to the manufacturing facility at the end of year 5 for $44383. How much should Morson & Colton deposit today into an account paying 2% per year compounded annually to meet all of these obligations?

Reference no: EM131067139

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