Question - As part of your personal budgeting process, you have determined that at the end of each of the next 5 year you will incur significant maintenance expenses on your home. You'd like to cover these expenses by depositing a lump sum in an account today that earns 8%. you will gradually draw down this account each year as maintenance bills come due.
End of year 1 5k expense
end of year 2 4k expense
end of year 3 6k expense
end of year 4 10k expense
end of year 5 3k expense
How much money must you deposit today to cover all of the expenses?