document.write( "Question 1139089: Julie is 23 and has started her first job. She plans to put aside R15 000 per year so that she can make a nice down payment on a house in six years time. If she pays the money at the end of each year into a savings account that earns 11,5% interest per year, compounded yearly, the accumulated amount at the end of six years is \n" ); document.write( "
Algebra.Com's Answer #756870 by ikleyn(52781)\"\" \"About 
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document.write( "It is a classic Ordinary Annuity saving plan. The general formula is \r\n" );
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document.write( "    FV = \"P%2A%28%28%281%2Br%29%5En-1%29%2Fr%29\",    (1)\r\n" );
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document.write( "where  FV is the future value of the account;  P is the annual payment (deposit); r is the annual percentage rate presented as a decimal; \r\n" );
document.write( "n is the number of deposits (= the number of years, in this case).\r\n" );
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document.write( "Under the given conditions, P = 15000;  r = 0.115;  n = 6.  So, according to the formula (1), you get at the end of the 20-th year\r\n" );
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document.write( "    FV = \"15000%2A%28%28%281%2B0.115%29%5E6-1%29%2F0.115%29\" = 120200.74.      ANSWER\r\n" );
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\n" ); document.write( "\n" ); document.write( "On Ordinary Annuity saving plans,  see the lessons\r
\n" ); document.write( "\n" ); document.write( "    - Ordinary Annuity saving plans and geometric progressions\r
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\n" ); document.write( "\n" ); document.write( "The lessons contain  EVERYTHING  you need to know about this subject,  in clear and compact form.\r
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\n" ); document.write( "\n" ); document.write( "When you learn from these lessons,  you will be able to do similar calculations in semi-automatic mode.\r
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