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How much money must you deposit into a savings account today if you desire to purchase a piece of equipment in 5 years. The equipment costs $1000 today, and is expected to increase in price due to inflation at a rate of 1% per year. Your savings account has an interest rate of 6%, compounded bi-annually.
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Enter in the value rounded to the nearest $1 with the following format $XXXX
A) How much will the equipment cost in 5 years?
B) How much needs to be deposited today to save up enough to purchase the equipment?
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