What is the amount of the annual withdrawal

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Reference no: EM132012899

Suppose I make 20 equal annual payments of $1,000 into a savings account that pays 8% interest compounded annually.

One year later (end of year 21) I make the first of 10 equal annual withdrawals from that fund, the last which brings the balance to zero.

What is the amount of the annual withdrawal?

Reference no: EM132012899

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