Vanesssssa
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- Oct 31, 2019
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You deposit $3000 each year into an account earning 7% interest compounded annually. How much will you have in the account in 35 years?
How much money (principal+interest) would you have at the end of 1 year?You deposit $3000 each year into an account earning 7% interest compounded annually. How much will you have in the account in 35 years?
Looks good..... However at this site we tend NOT to provide "answer" when the original poster did not show any work/thought regarding the assignment. We want the student to "discover" the answer. You could have nudged the OP towards the answer - without providing the full work and the answer.Good night! d
Given data:
Using the following formula:
- PMT : $ 3000
- Interest (i): 7%
- n: 35 years
[MATH]FV=PMT\cdot\left[\dfrac{\left(1+i\right)^{n}-1}{i}\right]\\ FV=3\,000\cdot\left[\dfrac{\left(1+7\%\right)^{35}-1}{7\%}\right]\\ FV=3\,000\cdot\left(\dfrac{1.07^{35}-1}{0.07}\right)\\ \color{blue}\boxed{FV\approx 414\,710.64} [/MATH]
Right?