<PRE><B>Question 446881</B>
camille receives an inheritance of $35,000(after taxes). she decides to invest all of it in an education account for her month-old daughter. If the account pays 6.85% interest compounded quarterly, and if Camille makes no new deposits or withdrawals from the account, how much money will be available for her child at the end of 18 years?
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A(18) = 35000(1+(0.0685/4))^(4*18)
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= 35000(1.0.17125)^(72)
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= 35000*3.395875
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= $118,855.62
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Cheers,
Stan H.</PRE>