A trust fund amounting to ₱6700000 earns 7.4% annual interest. If ₱150,000 is to be withdrawn at the end of each year in the first 5 years, what is the maximum amount that can be withdrawn annually at the end of each year from the 6th year onward to make the fund last forever?

A trust fund amounting to ₱6700000 earns 7.4% annual interest. If ₱150,000 is to be withdrawn at the end of each year in the first 5 years, what is the maximum amount that can be withdrawn annually at the end of each year from the 6th year onward to make the fund last forever?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

ChapterM: Time Value Of Money Module

Section: Chapter Questions

Problem 10RE: If 90,000 is invested in a fund on December 31, 2019, and 5 equal annual withdrawals of 23,138.32...

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