Answer:
the amount needed to deposit is $38,608.67
Explanation:
The computation of the amount needed to deposit is as follows:
As we know that
Present value of annuity = Annuity × [1 ( 1 + interest rate)^-time period] ÷ rate
= $5,000 × [1 - (1.05)-10] ÷ 0.05
= $5,000 × 7.721734929
= $38,608.67
hence, the amount needed to deposit is $38,608.67
We simply applied the above formula so that the correct value could come
And, the same is to be considered
