How much withdrawals made and the balance left in account

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Reference no: EM13202341

Robertson Inc. wishes to set aside lump sum money to withdraw from and invest in automating parts of its business over the next 5 years. This money is expected to earn compound interest at the rate of 10% per year. The following are the expected dates of withdrawals:
Year 1: $40,000
Year 2: No withdrawal
Year 3: $25,000
Year 4: $50,000
Year 5: $10,000.
How much money should Robertson Inc. deposit today to be able to withdraw the increments listed above? Also, make a table to show, on a year by year basis, if your calculated amount is correct. The table should show the interest earned, the withdrawals made and the balance left in the account.

Reference no: EM13202341

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