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Carl is the beneficiary of a $21,000 trust fund set up for him by his grandparen

ID: 2799867 • Letter: C

Question

Carl is the beneficiary of a $21,000 trust fund set up for him by his grandparents. Under the terms of the trust, he is to receive equal installments from this fund at the end of each year over a 6-year period. If the fund earns interest at the rate of 10%/year compounded annually, what amount will he receive each year? Assume that the balance in the fund is zero after the last installment is received. (Round your answer to the nearest cent.) $ | 4821.71 | Assume thatthebala ce ved. (Round your answer to thee $[4821.7

Explanation / Answer

annual amounts

=21000/((1-(1+10%)^(-6))/10%)

=4821.75 is the answer

you can try for 4822 also

the above are the answers