[hormotee]

2. They used annuity rate for 4yrs and added 1(1+3.170).

[hormotee]

Dear John,

Here is another question. X plans to get a holiday home in 5years time for cash. D cost will be $1.5m. He plans to set aside the same amount of fund each yr for 5years starting immediately earning a rate of 10% interest per annum compound. How much does he set aside each year?
Please John, why did they do this:
1. They used 0-4yrs
2. They used annuity rate for 3yrs and added 1(1+3.170).

Thank you

[hormotee]

Thanks very much for your prompt responses

[hormotee]

Passed 51% All glory to God, I never expected it. Thanks OT.

[Author]

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