document.write( "Question 1177395: Find i​ (the rate per​ period) and n​ (the number of​ periods) for the following annuity.\r
\n" ); document.write( "\n" ); document.write( "Quarterly deposits of $1,000 are made for 7 years into an annuity that pays 9% compounded quarterly.
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\n" ); document.write( "\n" ); document.write( "I need to see all the calculations for this question to understand please!\r
\n" ); document.write( "\n" ); document.write( "Homework question from Hans Beauvoir \n" ); document.write( "
Algebra.Com's Answer #806337 by ikleyn(52782)\"\" \"About 
You can put this solution on YOUR website!
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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 quarterly payment (deposit); \r\n" );
document.write( "r is the quarterly percentage yield presented as a decimal (it is \" i \" , in your terminology);\r\n" );
document.write( "n is the number of deposits (= the number of years multiplied by 4, in this case).\r\n" );
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document.write( "Under the given conditions, P = 1000;  r = 0.07/4 = 0.0175;  n = 4*7 = 28.   <<<===---  it is partial answer to your questions \r\n" );
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document.write( "So, according to the formula (1), you get at the end of the 7-th year\r\n" );
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document.write( "    FV = \"1000%2A%28%28%281%2B0.0175%29%5E%284%2A7%29-1%29%2F0.0175%29\" = \"1000%2A%28%281.0175%5E28-1%29%2F0.0175%29\" = $35,737.88.\r\n" );
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document.write( "Note that you deposit only  4*7*$1000 = $28,000.  The rest is what the account earns/accumulates in 7 years.\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
\n" ); document.write( "\n" ); document.write( "    - Solved problems on Ordinary Annuity saving plans\r
\n" ); document.write( "\n" ); document.write( "in this site.\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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