# Question: you need 25656 at the end of 7 years and...

###### Question details

You need $25,656 at the end of 7 years, and your only investment outlet is an 12 percent long-term certificate of deposit (compounded annually). With the certificate of deposit, you make an initial investment at the beginning of the first year. Use Appendix B and Appendix C for an approximate answer, but calculate your final answer using the formula and financial calculator methods.

**a.** What single payment could be made at the
beginning of the first year to achieve this objective? **(Do
not round intermediate calculations. Round your final answer to 2
decimal places.)
**

**b.** What amount could you pay at the end of each
year annually for 7 years to achieve this same objective?
**(Do not round intermediate calculations. Round your final
answer to 2 decimal places.)
**