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Analyse balances and graphs of an affine cash-flow model

Question 1 of 8

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The scholarship annuity fund is analysed with a first-order cash-flow model. Let $V_n$ be the fund balance in dollars after $n$ periods. $V_0$ is before the first interest calculation and cash flow

The recurrence relation is

V_0=270000,\qquad V_{n+1}=\frac{103}{100}V_n-\frac{202509}{25}

Use the exact recurrence for the calculations. Displayed money values are rounded to the nearest cent only at the point where they are shown

2 marks

Complete the balances marked ? in the table

Money values are rounded to the nearest cent after the exact recurrence is evaluated
Period n	fund balance ($)
0	$270,000
1	?
2	?

$V_{1}$ at period 1 $V_{2}$ at period 2