SOLUTION: Compound Annuity What is the accumulated sum of the following payment: $500 a year for 10years compounded annually at 5% I tried: 500(1+5%)^10, but is doesn't seem enough-I th

Algebra ->  Finance -> SOLUTION: Compound Annuity What is the accumulated sum of the following payment: $500 a year for 10years compounded annually at 5% I tried: 500(1+5%)^10, but is doesn't seem enough-I th      Log On


   

Question 280921: Compound Annuity
What is the accumulated sum of the following payment:
$500 a year for 10years compounded annually at 5%
I tried: 500(1+5%)^10, but is doesn't seem enough-I think this is only a one time investment. Thank you.
Answer by checkley77(12844) About Me  (Show Source):
You can put this solution on YOUR website!
500(1+.05)^10
500(1.05)^10
500*1.629=$814.45 ans.