(Answered) On january 1 alan king decided to transfer an amount from

Finance

On January 1, Alan King decided to transfer an amount from his checking account into an investment account that later will provide $ 80,000 to send his son to college (four years from now). The investment account will earn 8 percent, which will be added to the fund each year- end.

Required (show computations and round to the nearest dollar):

1. How much must Alan deposit on January 1?

2. What is the interest for the four years?

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