document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1126264>Question 1126264</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Suppose an individual makes an initial investment of $1000 in an account that earns 7.8%, compounded monthly, and makes additional contributions of $100 at the end of each month for a period of 12 years. After these 12 years, this individual wants to make withdrawals at the end of each month for the next 5 years (so that the account balance will be reduced to $0). (Round your answers to the nearest cent.)\r<BR>\n" );
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document.write( "(a) How much is in the account after the last deposit is made? \r<BR>\n" );
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document.write( "(b) How much was deposited? <BR>\n" );
document.write( "I got this one right: 15400\r<BR>\n" );
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document.write( "(c) What is the amount of each withdrawal? \r<BR>\n" );
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document.write( "(d) What is the total amount withdrawn?  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #742600 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><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/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=742600\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> i'm not quite so sure you got the first part right.\r<BR>\n" );
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document.write( "my calculations indicate that the future value of the investment after 12 years is $26,265.91 and the amount you would receive each month for the following 5 years would be $530.07.\r<BR>\n" );
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document.write( "here are my inputs for the first part.\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101502.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "here is my output for the first part.\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101503.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "here are my inputs for the second part.\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101504.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "here is my output for the second part.\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101505.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "i also did the problem in excel to confirm the answer is correct.\r<BR>\n" );
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document.write( "here's the output from the excel analysis.\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101506.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101507.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2018/101508.jpg\" alt=\"$$$\" >\r<BR>\n" );
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document.write( "the remaining balance is 0 at the end of the 5 year withdrawal period, as it should be.\r<BR>\n" );
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document.write( "your time periods are in months.\r<BR>\n" );
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document.write( "the number of month is equal to the number of years * 12.\r<BR>\n" );
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document.write( "the interest rate per month is equal to the interest rate per year divided by 12.\r<BR>\n" );
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document.write( "the calculator deals in percents, so 7.8% / 12 = .65%.\r<BR>\n" );
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document.write( "the excel spreadsheet deals in rates, so 7.8% / 100 = .078 / 12 = .0065.\r<BR>\n" );
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document.write( "the initial investments are made at the end of month 0.\r<BR>\n" );
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document.write( "the monthly payment are made at the end of month 1 to 144.\r<BR>\n" );
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document.write( "the monthly withdrawals are made at the end of month 1 to 60.\r<BR>\n" );
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document.write( "end of month 0 of the withdrawal period is equal to end of month 144 of the investment period.\r<BR>\n" );
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document.write( "in other words, the remaining balance at the end of month 144 is immediately<BR>\n" );
document.write( "reinvested and becomes the remaining balance at the end of month 0 of the withdrawal period.\r<BR>\n" );
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document.write( " </SPAN>\n" );
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