SOLUTION: Kim wants to buy a farm in ten years. It will cost $250,000. She is earning 8% returns on her investments. How much does she need to save at the end of each month in order to reach

Algebra ->  Customizable Word Problem Solvers  -> Finance -> SOLUTION: Kim wants to buy a farm in ten years. It will cost $250,000. She is earning 8% returns on her investments. How much does she need to save at the end of each month in order to reach      Log On

 

Hi, 

In General 

A = Accumulated Amount = 250,000

P[n]= Savings Amount per period

r= annual rate = .08

n= periods per year = 12

t= years = 10 





, the monthly savings amount necessary = $1366.52