A small company wishes to set up a fund that can be used for technology purchases
over the next 6 years. Their forecast is for $25,000 to be needed at the end of year
1, decreasing by $2,000 each year thereafter. The fund earns 10% per year. How
much money must be deposited to the fund at the end of year 0 to just deplete the
fund after the last withdrawal?
$89,513
$87,644
$96,447
$74,477
$77,385