Business, 20.02.2020 19:37 Kurlyash

Theo wants to have $40,000 for a down payment on a house five years from now. He can either deposit one lump sum today or he can wait one year and deposit a lump sum. Assume an annual interest rate of 3.5 percent. How much additional money must he deposit if he waits for one year rather than making the deposit today?

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Theo wants to have $40,000 for a down payment on a house five years from now. He can either deposit...

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