Paul Intends to Retire in 15 Years and Would Like

question 109

Essay

Paul intends to retire in 15 years and would like to receive $8000.00 every 6 months for 20 years, starting on the date of his retirement. How much must he deposit in an account today if interest is 5% compounded semi-annually?

---

Definitions:

Theft

The act of unlawfully taking someone else's property with the intent to permanently deprive them of it.

Negotiability

The characteristic of a written document (such as a check or bill of exchange) that ensures its transferability by endorsement or delivery.

Oral Agreement

An agreement or contract that is made through spoken communication between parties, rather than in written form, but is still legally binding.

Casino Credit

A line of credit extended by a casino to a patron, allowing them to gamble without using cash.