Question

On Juan's 26th birthday, he invested $6,500 in a retirement account. Each year thereafter, he deposited 8% more than the previous deposit. The account paid annual compound interest of 4%. How much was in the account immediately after his 35th deposit? Round your answer to the nearest dollar. The tolerance is = 5. F=$ 1761379

I already answered question one, just need some help with the second part .

Thank you

Answer 1

Let the amount on 36 th birthday be 'A' Age 36 37 Product 2.56330 A 2.66189 A 2.76427 A 38 39 2.87059 A 40 41 42 43 44 PV factor @ 10% 2.5633 2.4647 2.3699 2.2788 2.1911 2.1068 2.0258 1.9479 1.8730 1.8009 1.7317 1.6651 1.6010 1.5395 1.4802 1.4233 1.3686 1.3159 Cash flow 1.0000 A 1.0800 A 1.1664 A 1.2597 A 1.3605 A 1.4693 A 1.5869 A 1.7138 A 1.8509 A 1.9990 A 2.1589 A 2.3316 A 2.5182 A 2.7196 A 2.9372 A 3.1722 A 45 46 47 48 49 50 2.98100 A 3.09565 A 3.21472 A 3.33836 A 3.46676 A 3.60009 A 3.73856 A 3.88235 A 4.03167 A 4.18674 A 4.34776 A 4.51499 A 4.68864 A 4.86897 A 5.05624 A 5.25071 A 5.45266 A 5.66238 A 5.88016 A 6.10632 A 6.34118 A 104.56597 A 3.4259 A 51 52 53 54 3.7000 A 3.9960 A 4.3157 A 55 56 57 58 1.2653 1.2167 1.1699 1.1249 1.0816 1.0400 1.0000 4.6610 A 5.0338 A 5.4365 A 5.8715 A 6.3412 A 59 60 Amount on Maturity 104.566 A A $ 17,61,379 $ 17,61,379 $ 17,61,379 /104.566 $ 16,844.66 A Amount to be invested on 36th Birthday $ 16,845

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