Question

You deposit $5,000 into an account at the end of year 0. You deposit $5,000 every three (3) months beginning at the end of year 1 and continuing through the end of year 3. You also deposit into the account an amount X starting at the end of year 6 and repeat it every three (3) months for a total of four (4) deposits. You withdraw $112,160 at the end of year 7. After the withdrawal at the end of year 7, there is no more money in the account. The account pays 4% compounded quarterly. What is the amount you must every three (3) months deposit starting at the end of year 6 (value of X)?

Answer 1

Time(in years)	Deposit	Amount with interest
0
0.25
0.5
0.75
1	5000
1.25	5000	5050	10050
1.5	5000	10151	15151
1.75	5000	15302	20302
2	5000	20505	25505
2.25	5000	25760	30760
2.5	5000	31068	36068
2.75	5000	36428	41428
3	5000	41843	46843
3.25		47311	47311
3.5		47784	47784
3.75		48262	48262
4		48745	48745
4.25		49232	49232
4.5		49724	49724
4.75		50222	50222
5		50724	50724
5.25		51231	51231
5.5		51743	51743
5.75		52261	52261
6		52783	52783
6.25		53311	53311
6.5		53844	53844
6.75		54383	54383
7	13412	54927	68339
7.25	13412	69022	82434
7.5	13412	83258	96670
7.75	13412	97637	111049
8		112160	112160

On solving via excel we get the value to be $13,412

**Hope this helped**