document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1155715>Question 1155715</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Suppose you invest $140 a month for 4 years into an account earning 6% compounded monthly. After 4 years, you leave the money, without making additional deposits, in the account for another 29 years. How mich will you have in the end? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #778360 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=778360\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> use of a financial calculator gives you the answer to this.<BR>\n" );
document.write( "you would first take the future value of an annuity for 4 years.<BR>\n" );
document.write( "the future value becomes your present value for the next 29 years where you take the future value of a present value, using the same calculator.<BR>\n" );
document.write( "one such calculator is the TI-BA-II Business Analyst, made by texas instruments.<BR>\n" );
document.write( "for the first part, you make the following inputs.<BR>\n" );
document.write( "present value = 0<BR>\n" );
document.write( "future value = 0<BR>\n" );
document.write( "interest rate percent per year = 6% divided by 12 = .5% per month.<BR>\n" );
document.write( "number of years = 4 multiplied by 12 = 48 months.<BR>\n" );
document.write( "payments are made at the end of each month.<BR>\n" );
document.write( "you have the calculator compute the future value.<BR>\n" );
document.write( "it is equal to 7,573.69651.<BR>\n" );
document.write( "that becomes the present value for the next round of financial calculations.<BR>\n" );
document.write( "your inputs to the calculator becomes:<BR>\n" );
document.write( "present value = 7,573.69651.<BR>\n" );
document.write( "future value = 0<BR>\n" );
document.write( "interest rate per month = .5%<BR>\n" );
document.write( "number of months = 29 years * 12 = 348<BR>\n" );
document.write( "you have the calculator compute the future value.<BR>\n" );
document.write( "it is equal to 42,963.27602<BR>\n" );
document.write( "i did the year by year calculations in excel.<BR>\n" );
document.write( "the results are the same and are shown below.\r<BR>\n" );
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document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2020/041001.jpg\" alt=\"$$$\" >\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2020/041002.jpg\" alt=\"$$$\" >\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2020/041003.jpg\" alt=\"$$$\" > </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );