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Taylor Would Like to Retire on December 31, 2026, and Take

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Essay

Taylor would like to retire on December 31, 2026, and take a trip around the world. In order to do this, she feels she must accumulate $200,000 in her retirement account by that date. She is willing to deposit a certain amount each year into her retirement account, which earns 12% interest compounded annually. Taylor will make the first deposit on December 31, 2017, and the last deposit on December 31, 2026.
Required:
Determine the amount Taylor must deposit into her retirement account each year. Clearly label all work.


Definitions:

Major Organic Compound

A primary or predominant organic substance in a mixture or reaction.

Reaction

The act of chemical substances converting into different substances as a result of their interaction.

Major Organic Product

The primary substance formed in the highest yield during a chemical reaction involving organic compounds.

Reaction

A process through which one or more substances are changed into one or more different substances through the rearrangement, removal, replacement, or addition of atoms.

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