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How much should the annual deposits be

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On the day his baby was born, a father decided to establish a savings account for the child's university education. Any money that is put into the account will earn an interest rate of 8%. The father will make a series of annual deposits in equal amounts on each of his child's birthdays from the day of birth up to and including the 18th birthday so that the child can make five annual withdrawals from the account in the amount of $50,000 on each birthday from the 18th up to and including the 22nd birthday. How much should the annual deposits be?

Reference no: EM132577118

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