SOLUTION: al wishes to save for a boat in 4 years. if he can invest $430 each month into an account earning 7.2%/ compounded monthly. how much could he spend on a boat after 4 years?

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Question 1083133: al wishes to save for a boat in 4 years. if he can invest $430 each month into an account earning 7.2%/ compounded monthly. how much could he spend on a boat after 4 years?
Found 2 solutions by addingup, MathTherapy:
Answer by addingup(3677)   (Show Source): You can put this solution on YOUR website!
time: 4 years
saving: 430/month
interest: 7.2 compounded monthly
--------------------
A = 430{[1+(0.072/12)]^(12*4)-1}/(0.072/12)
A = 430[1+0.006)^(48)-1]/0.006
A = [430(1.333)-1]/0.006
A = 95,365
:
Moral: the power of compounding.
Answer by MathTherapy(10556)   (Show Source): You can put this solution on YOUR website!
al wishes to save for a boat in 4 years. if he can invest $430 each month into an account earning 7.2%/ compounded monthly. how much could he spend on a boat after 4 years?
Correct answer: In 4 years, he'll have: 

IGNORE all other RIDICULOUS and/or NONSENSICAL answers!

I would love to invest $430 per month and accumulate over $95,000 after 4 years! That'd be a pretty hefty interest rate I'd be getting!  

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