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How much will you have after five years

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Problem - Assume that you plan to buy a condo 5 years from now, and you estimate that you can save $2,500 per year toward a down payment. You plan to deposit the money in a bank that pays 4% interest, and you will make the first deposit at the end of this year. How much will you have after 5 years? How would your answer change if the bank's interest rate were increased to 6%, or decreased to 3%?

Reference no: EM132726620

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