SOLUTION: John wants to start saving for an apartment. On his 20th birthday, he starts depositing R500 per week into a bank account with an annual interest rate of 8%, compounded weekly. He

Question 1114677: John wants to start saving for an apartment. On his 20th birthday, he starts depositing R500 per week into
a bank account with an annual interest rate of 8%, compounded weekly. He will continue to make these
weekly payments until the day of his 29th birthday. How much money will he have saved by then to finance
the purchase of an apartment?

Answer by Theo(13342) (Show Source): You can put this solution on YOUR website!
29 - 20 = 9 years.
multiply that by 52 and it's 468 weeks.
annual interest is 8%.
divide that by 52 and it's .153846154% per week.
payments are 500 at the end of each week.
use a financial calculator to find the future value of the investment.

present value = 0
future value = 0
payments at the end of each week are 500
interest rate per week is .153846154%.

calculate future value to be 342,321.48.

here's an online calculator that you can use.

https://arachnoid.com/finance/

here are the results of my use of this calculator.

%%%

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