Answer:
The company should deposit $74,954.02
Explanation:
We have an annuity with a variable installment with arithmetic progression.
[tex](a_1+\frac{d}{r} +d \times n) \times \frac{1-(1+r)^{-time} }{rate} - \frac{d \times n}{r}[/tex]
We plug our values:
C = 24,000
r = -2,000
r = 0.15
n = 6
And we get a PV of 74,954.02
We can build the table to verify:
Beginning Interest Tech payment Endng
1 74,954.02 11,243.11 24,000.00 62,197.14
2 62,197.14 9,329.58 22,000.00 49,526.72
3 49,526.72 7,429.01 20,000.00 36,955.73
4 36,955.73 5,543.36 18,000.00 24,499.09
5 24,499.09 3,674.87 16,000.00 12,173.96
6 12,173.96 1,826.10 14,000.00 0.06
(there is a 6 cent mistake due to rounding but without it It will be zero-out)
