SOLUTION: Suppose you invest $50.00 a month for 5 years into an account earning 8% compounded monthly. After those 5 years, you do not make any additional deposits and the money sits in the
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Question 1152988: Suppose you invest $50.00 a month for 5 years into an account earning 8% compounded monthly. After those 5 years, you do not make any additional deposits and the money sits in the account for another 25 years. How much will you have in the end? Round to the nearest penny. Please show in formula form.
Thank you in advance,
SYL Answer by Boreal(15235) (Show Source):
You can put this solution on YOUR website! P=50(1+(.08/12))^60-1)/(.08/12); d(1+(r/n)^nt-1)/(r/n)
=$3673.84
This is now compounded monthly
that is 3673.84(1+(.08/12))^300=$26966.63
