document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1207426>Question 1207426</A>: <I><SPAN STYLE=\"word-break: break-all;\"> What payment made at the end of each year for 18 years will amount to $16,000 at 4.2% compounded monthly? <BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #845298 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=845298\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> i used the texas instruments business analyst 2 calculator to solve this.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the payment required at the end of each year for 18 years at 4.2% per year compounded monthly is equal to 607.9237653\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "inputs to the calculator are:<BR>\n" );
document.write( "present value = 0<BR>\n" );
document.write( "future value = 16000<BR>\n" );
document.write( "number of years = 18.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the nominal interest rate per year = 4.2%.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the nominal growth factor is 1.042 per year.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the effective growth factor per month is equal to 1 + .042/12 = 1.0035.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the effective growth factor per year is 1.0035 ^ 12 = 1.042818007.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "subtract 1 from this and multiply it by 100 to get an effective interest rate of 4.2818007% per month.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "that's what is input to the calculator for the interest rate per time period.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "click on payment per time period and you will get 607.9237653.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "on online calculator that performs a similar function is found at <a  rel=nofollow HREF= \"https://arachnoid.com/finance/index.html\" target = \"_blank\">https://arachnoid.com/finance/index.html</a>\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "here are the results from using that calculator.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2024/060302.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );