Question 1183166
use the calculator at <a href = "https://arachnoid.com/finance/index.html" target = "_blank">https://arachnoid.com/finance/index.html</a>


first you want to find the payment required.


inputs are:


present value is equal to 0
future value is equal to 300000
number of periods is equal to 20 years * 12 = 240 months.
interest rate per period is equal to 3% per year / 12 = .25% per month.
payments are made at the end of each period.


output is:


payment = -913.79.


it's negative because it's money going out.
future value is positive because it's money coming in.


results are shown below:


<img src = "http://theo.x10hosting.com/2021/072004.jpg" >


now that you know the payment required, next you want to find the future value after 10 years.


inputs are:


present value is equal to 0
number of periods is equal to 10 years * 12 = 120 months.
payment amount is equal to -932.79
interest rate per period = 3% per year / 12 = .25% per month.
payment is made as the end of each time period.


output is:


future value = 127,694.31


results are shown below:


<img src = "http://theo.x10hosting.com/2021/072005.jpg" >


a month by month analysis for selected months is shown below.


<img src = "http://theo.x10hosting.com/2021/072011.jpg" >


<img src = "http://theo.x10hosting.com/2021/072014.jpg" >


<img src = "http://theo.x10hosting.com/2021/072013.jpg" >