SOLUTION: semiannual withdrawals of $800 for 7 years; interest rate is 4.9% compounded semiannually.

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Question 935967: semiannual withdrawals of $800 for 7 years; interest rate is 4.9% compounded semiannually.
Answer by ptfile(81) About Me  (Show Source):
You can put this solution on YOUR website!
Let w = amount withdrawn semiannually
    r = interest rate
    n = Number of intervals
    t = duration of the withdrawals
    P = Principal

PV+=+w%28%28%281%2Br%2Fn%29%5E%28nt%29-1%29%2F%28%281%2Br%2Fn%29%5E%28nt%29%28r%2Fn%29%29%29

PV+=+800%28%28%281.0245%29%5E%2814%29-1%29%2F%28%281.0245%29%5E%2814%29%28.0245%29%29%29
PV+=+800%28%28.403354780%29%2F%28%281.403354780%29%28.0245%29%29%29
PV+=+800%28.403354780%2F.034382192%29
PV+=+800%2811.731502750%29
PV+=+9385.20
$9385.20 is the total amount of money to be withdrawn.