At the Beginning of 2014, Lisa Co

Essay

At the beginning of 2014, Lisa Co. issued bonds with a face value of $700,000 due on December 31, 2020. The company desires to accumulate a fund to retire these bonds at maturity by making equal annual deposits beginning on December 31, 2014.
Required:
Compute the amount that the company must deposit at the end of each year, assuming that the fund will earn 10% interest a year compounded annually and seven deposits are made.