Answer: $751,523.23
Step-by-step explanation:
let the initial amounrt in the bank be x + 100,000 dollars
the bank now has to pay an ordinary annuity of $100,000 for 9 yrs
using the present value of annuity formula,
x = 100,000*(1 - (1.07^-9))/0.07
= $651,523.23
add another $100,000 for the immediate 1st payment
ans: $751,523.23
