document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=967483>Question 967483</A>: <I><SPAN STYLE=\"word-break: break-all;\"> How much must a 15 year old boy deposit in a bank now that pays 10 1/2% compounded quarterly so that after 10 years he will have 400,000? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #591381 by </B><A HREF=/tutors/aboutme.mpl?userid=lwsshak3><B>lwsshak3(11628)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=lwsshak3><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=591381\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> How much must a 15 year old boy deposit in a bank now that pays 10 1/2% compounded quarterly so that after 10 years he will have 400,000?<BR>\n" );
document.write( "***<BR>\n" );
document.write( "compound interest formula: A=P(1+r/n)^nt, P=initial investment, r=interest rate, n=number of compounding periods per year, A=amt after t-years<BR>\n" );
document.write( "For given problem:<BR>\n" );
document.write( "P=?<BR>\n" );
document.write( "r=.105<BR>\n" );
document.write( "n=4<BR>\n" );
document.write( "t=10<BR>\n" );
document.write( "A=400,000<BR>\n" );
document.write( "..<BR>\n" );
document.write( "400000=P(1+.105/4)^4*10)<BR>\n" );
document.write( "400000=P(1+.02625)^40)<BR>\n" );
document.write( "P=400000/(1.02625)^40<BR>\n" );
document.write( "P&#8776;141884<BR>\n" );
document.write( "How much must a 15 year old boy deposit in a bank now? about $141,884 </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );