Jason deposited $100.00 at the end of each month for five years into an account paying 6% compounded monthly. What will be the balance in the account at the end of the five-year term?

 2. Calculate the accumulated value after ten years of payments of $1000.00 made at the end of each quarter if interest is 4% compounded semi-annually.

3. A man put aside $5710.00 at the end of every 3 months for seven years. How much will he have six years after the least deposit, if his account earned 5.6% p.a. compounded quarterly?


4. An installment contract for the purchase of a car requires payments of $568.60 at the end of each month for the next three years. Suppose interest is 12.0% p.a. compounded monthly. How much interest will be paid?

5. What is the principal from which $2279.00 can be withdrawn at the end of each month for 17.5 years if interest is 5.44% compounded quarterly?

Answer rating: 100% (QA)

1 We can use the formula for compound interest to solve this problem The formula is A P1 rnnt Where A the final amount P the initial amount or principal r the annual interest rate as a decimal n the n... View the full answer