SOLUTION: Assume that you have $2100 saved in a sinking fund in 1 year. The account pays 3.5% compounded monthly. What should be your monthly payments?

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Question 1198972: Assume that you have $2100 saved in a sinking fund in 1 year. The account pays 3.5% compounded monthly. What should be your monthly payments?
Answer by MathLover1(20850) About Me  (Show Source):
You can put this solution on YOUR website!



given :
Money to accumulate: $2100
interest rate is: 3.5%=0.035
frequency: 12 months
period: 1 year

the monthly interest rate is: 0.035+%2F+12=0.002916666666666667



Contribution+=+172.21

Your monthly payment should be $172.21 to achieve your goal.