How much should you deposit at the end of every six months

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Reference no: EM132059993

Question

You would like to have $4000 in 4 years for a special vacation following graduation by making deposits at the end of every 6 months in an annuity that pays 7% compounded semiannually

A) How much should you deposit at the end of every six months?

B) How much of the $4000 comes from deposits and how much comes from interest?

Reference no: EM132059993

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