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DENIUS [597]
2 years ago
5

Suppose you invest, every month, in an annuity that pays 3% interest, compounded monthly. After 25 years, you have $550,000. How

much money do you earn from interest? Round your answer to the nearest hundred dollars. Do NOT round until you have calculated the final answer.
Mathematics
1 answer:
erma4kov [3.2K]2 years ago
4 0

Answer:

180100

Step-by-step explanation:

Use savings annuity formula

Substitute A(25) = $550,000 , R= 0.03 and N=12 simplify and solve for D.

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