SOLUTION: kim is willling to invest $250 per month from the time she is 23 until the time she retires at the age of 58. She will invest her money into a money market account earning 8% inter

Question 1016374: kim is willling to invest $250 per month from the time she is 23 until the time she retires at the age of 58. She will invest her money into a money market account earning 8% interest, compounded annually.
I don't understand how to solve this word problem or how to go about solving it. I keep getting an answer in the 40,000s but the answer is supposed to be $516,950.41.
Answer by Boreal(15235) (Show Source): You can put this solution on YOUR website!
It is [(1.08)^35]-1
Then multiply by $250 and divide by (.08/12)
That will bring you to the answer.
From what I have used, I would ask about why not (1+(.08/12)^420 -1 and then multiplying by $250/(.08/12)
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