How much must he deposits if the annual interest rate

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Reference no: EM131070934

A man is planning to retire in 25 years. He wishes to deposit a regular amount every three months until he retires, so that, beginning one year following his retirement, he will receive annual payments of $80,000 for the next 15 years. How much must he deposits if the annual interest rate is 8% compounded quarterly? (Note that the last deposit is made on the date of the end of 25th year, and first withdrawal is at the end of 26th year.) (Justify Answer)

Reference no: EM131070934

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