Question: You would like to have $ 4 , 5 0 0 in 3 years for a special vacation following graduation by making deposits at the
You would like to have $ in years for a special vacation following graduation by making deposits at the end of every six months in an annuity that pays compounded semiannually.
a Use one of the formulas below to determine how much you should deposit at the end of every six months.
b How much of the $ comes from deposits and how much comes from interest?
a In order to have $ in years, you should deposit $ at the end of every six months.
Do not round until the final answer. Then round up to the nearest dollar.
b $ of the $ comes from your deposits and $ comes from interest. Use the answer from part a to find this answer. Round to the nearest dollar as needed.
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