Mark and Beth are looking at four different homes. They created this spreadsheet to estimate escrow calculations more easily. They will pay the property tax and homeowner's insurance each month with their mortgage payment. The bank will hold these two amounts in escrow until those bills need to be paid, which is every six months. Each line represents data for a different home they are looking at. Mark and Beth input values for the mortgage, property tax, and homeowner's insurance in row 2, columns A, B, and C.

a. Write the spreadsheet formula for cell D2 that will compute the escrow balance after six months.
If the monthly escrow payments get 1% interest compounded monthly, Mark and Beth can compute the value of the escrow account in six months. Look at this as finding the future value of a periodic deposit. Recall the formula from Lesson 3-8 shown at the left.
b. Write the spreadsheet formula for cell E2 that will compute the escrow balance after six months, with the given interest rate and monthly compounding.
c-j. Fill in the missing entries.

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Monthly Escrow Balance MonthlyAnnua Homeowner's Escrow with Interest after Annual 2 1,435 3 4 2,081 5 1,873 1 Mortgage Property Tax Insurance Payment Six Months 1,234 1,567 1,540 1,564 5,900 8,766 8,944 7,711 C. d. 1,987 g. h. Future Value of a Periodic Deposit nt where B P- periodic deposit amount, r annual interest rate n number of times the interest t- length of the investment in balance at the end of the six months which is the monthly escrow expressed as a decimal is compounded annually years