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Question: you are considering a savings plan that calls for a...

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You are considering a savings plan that calls for a deposit of $12,000 at the BEGINNING of each of the next five years. If the plan offers an interest rate of 8 percent, how much will you accumulate at the end of year 5?

Do this calculation by completing the following template using Excel. Your spreadsheet will do the FV calculation twice - once using the FV function (in Cell B4) and once using a simple table that shows the accumulation at the beginning of each year that would be similar to what you would show a client that does not understand future value accumulation very well. Please show all work in excel and functions being used (I am used to a financial calculator). Thanks!

A B C D
1 Annual payment 12,000
2 Interest rate 8%
3 Number of years 5
4 Total value <--Use FV function
5
6 Year Accumulation at beginning of year Payment at end of year Annual interest
7 1 0 12,000 0
8 2 12,000 12,000   
9 3
10 4
11 5
12 6
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