Question 3 You make a series of deposits & withdrawals from a bank account over the next 51 months as illustrated in the

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Question 3 You Make A Series Of Deposits Withdrawals From A Bank Account Over The Next 51 Months As Illustrated In The 1 (23.64 KiB) Viewed 22 times

Question 3 You make a series of deposits & withdrawals from a bank account over the next 51 months as illustrated in the diagram below. You deposit $10,100 in the bank each month starting 3 months from now, and continue to do so until 51 months from now. You withdraw -$3,650 five months from now. Every month you increase the amount of money you withdraw by -$195 and continue doing so until 51 months from now. Interest rates are 1.75% per month, compounded monthly. SO $0 $0 $10,100 $10,100 $10,100 $10,100 $10,100 $10,100 $10,100 Month 0 1 2 3 4 5 6 49 50 51 SO $0 $0 $0 $0 -$3,650 -$3,845 -$12,230 -$12,425 -$12,620 a) What is the present value of the cash flows as illustrated? b) How much money will be in the bank after 51 months? 8