Determine the Quarterly Payment Necessary to Accumulate $100,000 in a Fund

question 22

Short Answer

Determine the quarterly payment necessary to accumulate $100,000 in a fund paying 7% per year, compounded quarterly, for 19 years. Assume end-of-period deposits and compounding at the same intervals as deposits. (Round your answer to the nearest cent.)
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$__________ per quarter

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Definitions:

Capitalized

Expenditures or costs that are added to the cost basis of a fixed asset on a company's balance sheet, rather than being expensed immediately.

Goodwill

An intangible asset that arises when a company acquires another company for a price higher than the fair value of its net identifiable assets.

Acquisition

An acquisition involves one company purchasing another company or its assets, often to expand its operations or enter new markets.

Trade Name

A commercial name under which a business operates and is known to its customers.