You decide to set aside $200 a month for 20 years into an ordinary annuity which...
You decide to set aside $200 a month for 20 years into an ordinary annuity which pays 3.6% interest, compounded monthly. How much money do you have after the 20 years have passed?
Homework Answers
Ans $ 70148.00
| P = | Periodic payments |
| r = | rate of interest |
| n = | no of years |
| Future Value of Annuity = | P ( (1 + r)n - 1 ) / r |
| 200* ((1 + 3.6%/12)^240 - 1) / (3.6%/12) | |
| 70148.00 | |
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