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Your company needs $500,000 in two years' time for renovations and can earn 4% interest on...

Your company needs $500,000 in two years' time for renovations and can earn 4% interest on investments.

(a) What is the present value of the renovations? Present value = $_____ dollars.

(b) If your company deposits money continuously at a constant rate throughout the two-year period, at what rate should the money be deposited so that you have the $500,000 when you need it? $ _____ should be deposited per year to have $500,000 in two years' time.

Math   Calculus   
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