Question

How much should be deposited at the beginning of each year for 10 years in order to provide a sum of 50,000 at the end of 10 years. The rate is 10%

Answer 1

The requirement is to find the the amount of annuity
given the FV of the annuity due.
The formula for finding FV of an annuity due =
= A*((1+r)^n-1))*(1+r)/r =
Where
A = the annuity amount
r = the interest rate per period
n = the number of periods
Hence,
50000 = A*(1.1^10-1)*1.1/(0.1)
A = 50000*0.1/((1.1^10-1)*1.1)) =	$   2,852.06
Amount to be deposited at the beginning of each year =	$   2,852.06