A Sum of Money Is Deposited at the Beginning of Each

question 129

Essay

A sum of money is deposited at the beginning of each year for 3 years at 12% compounded annually. After the last deposit interest for the account is to be 8.24% compounded quarterly and the account is to be paid out by payments of $370.00, made at the beginning of each quarter for nine years. What is the size of the annual deposit?

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Definitions:

Freud

Sigmund Freud, an Austrian neurologist known for founding psychoanalysis, a method for treating psychopathology.

Cephalocaudally

Pertaining to growth or development that occurs from the head down through the body towards the feet.

Fixated

Showing an obsessive or persistent attachment to someone or something, or remaining in an immature psychological development stage.