Answer:
A. $99,195.055
B. $72,000
C. $27,195.055
Step-by-step explanation:
A. Calculation for How much will you have in the account in 30 years
Using future annuity formula
Future value=[Deposit amount* (1+Interest rate^n-1)/Interest rate]
Let plug in the formula
Where,
Deposit amount=$200
Number of days=30*12=360
Interest rate=0.02/12=0.0017
Let plug in the formula
Future value=[$200*(1+0.0017^360-1)/0.0/17]
Future value=[$200*(1+0.0017^360-1)/0.0/17]
Future value=[$200*(1.0017^360-1)/0.0/17]
Future value=$99,195.055
Therefore the amount you will have in the account in 30 years will be $99,195.055
B. Calculation for How much total money will you put into the account
Using this formula
Total money=Deposit amount*Number of days
Let plug in the formula
Total money=$200*360 days
Total money=$72,000
Therefore the total money you will put into the account is $72,000
C. Calculation for How much total interest will you earn
Total Interest=$99,195.055-$72,000
Total Interest=$27,195.055
Therefore the total Interest you will earn is $27,195.055
