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CECN801MidtermExam:Markthecorrectansweronyourscantronform. HandinthescantronformandBonusquestionpage. (20Questions:5×each) Filename Hostname Student# 1) In 2010, a biotechnology firm, DNA Map Inc.,

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How to fill out 2 howmuchdoyouneedtoinvestinequalannualamountsatyear-endforformnext10

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Step 1: Determine the amount you want to invest annually at year-end.

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Step 2: Calculate the interest rate or annual return you expect to earn.

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Step 3: Decide on the number of years you want to invest for, in this case, it is 10 years.

04

Step 4: Use the compound interest formula A = P * (1 + r)^n to calculate the future value of the investment.

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Step 5: Rearrange the formula A = P * (1 + r)^n to solve for P, which represents the equal annual amount you need to invest.

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Step 6: Plug in the values for A, r, and n, and solve for P to find out how much you need to invest annually at year-end for the next 10 years.

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