Question

MY NOTES PRACTICE ANOTHER Robin, who is self-employed, contributes $5500/year into a Keogh account. How much will he have in the account after 20 yr If the account earns interest at the rate of 7.5%/year compounded yearly? (Round your answer to the nearest cent.) $ Need Help? Read Talk to Tutor 9. (-/0.1 Points] DETAILS TANAPMATHS 4.2.020. MY NOTES PRACTICE ANOTHER The Pirerras are planning to go to Europe 4 yr from now and have agreed to set aside $170/month for their trip. If they deposit this money at the end of each month into a savings account paying interest at the rate of 9%/year compounded monthly, how much money will be in their travel fund at the end of the fourth year? (Round your answer to the nearest cent.) $ Alan படை T

Answer 1

mere; Brincipal valve, P=. 5500 , p7.501,c2.075 time, t= 20 years nu.of priod, na 1 annually) so, Total amount after 20 year is, A=P [+ Bjut_ 5560 [(1+0.075.1) r/n 28238176 0.075 12 @ Here, n = 9% = 0.09 companded monthily = 0.09 monthly payment $170 no ot poriod a 4x12 248 170 So Future value, = 170 (14.0-2)] (0.09/12) z $ 9778-52 ~ $19.779

Thank you so much sir