Question

You plan to invest $209 per month. Suppose that you are told that the type of investment that you are considering earns an APR of 996, with monthly compounding What is the projected value of your investment in 27 years? Assume that you contribute to your investment at the end of each month, beginning one month from today Do not round at intermediate steps in your calculation. Round your answer to the nearest dollar. Do not type the S symbol
0 0
Add a comment Improve this question Transcribed image text
Answer #1

For this we use FV of annuity formula

FV = P*((1+r)^n-1)/r

= 209*((1+0.09/12)^(12*27)-1)/ (0.09/12)

=285810.41

Hence value of the investment is 285810

Add a comment
Know the answer?
Add Answer to:
You plan to invest $209 per month. Suppose that you are told that the type of...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT