Fiona deposits $4,000 at the end of each year in an account earning 2.15% interest, compounded annually. What is the future valu

Question

dybincka [34]

3 years ago

6

Fiona deposits $4,000 at the end of each year in an account earning 2.15% interest, compounded annually. What is the future valu

e of this annuity after 5 years of investing

Mathematics

1 answer:

7nadin3 [17] · Answer 1 · 2021-11-07T04:41:34+03:00

7nadin3 [17]3 years ago

7 0

The formula of the future value of annuity ordinary
Fv=pmt [(1+r)^(n)-1)÷r]
Fv future value
Pmt payment per year 4000
R interest rate 0.0215
N time 5 years

Fv=4,000×(((1+0.0215)^(5)−1)÷(0.0215))
fv=20,878.69