Your parents opened a savings account for you where they plan to make monthly deposits of $200 for the next 10 years, starting with a $200 deposit they made today. Assume the account earns 0.5% interest per month. What will be the value of the account in 10 years?
Please refer to below spreadsheet for calculation and answer. Cell reference also provided.
Cell reference -
Hope this will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.
Your parents opened a savings account for you where they plan to make monthly deposits of...
Exercise 3_no4 (FV annuity): Your parents have just opened a savings account for you. Starting today, they plan to make monthly deposits of $200 for the next 10 years (120 deposits) into the account. Assume the account earns 0.5% interest per month. What will be the value of your saving account after 10 years?
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