SOLUTION: As a savings plan for college, when their son Bob was born, the Wilburs deposited $10,000 in an account paying 8% compounded annually. How much will the account be worth when Bob i

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Question 977766: As a savings plan for college, when their son Bob was born, the Wilburs deposited $10,000 in an account paying 8% compounded annually. How much will the account be worth when Bob is 18 years old?
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Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
As a savings plan for college, when their son Bob was born, the Wilburs deposited $10,000 in an account paying 8% compounded annually. How much will the account be worth when Bob is 18 years old?
A(t) = P(1+(r/n))^(nt)
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A(18) = 10,000(1+0.08)^18
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A(18) = 10,000*3.9960
$ $39960.00
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Cheers,
Stan H.
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