Financial Math

[9 marks] Suppose on your 23 birthday, you begin saving $250 per month in an account earning /12 = 8%. (Your first savings deposit is on your 23rd birthday.) a. Suppose you make your final deposit on your 54 birthday. It is now your 55th birthday. Draw a complete time diagram include a focal date and write an equation of value in order to compute the value of your savings on your 55" birthday, Your equation of value must be written solely based on ideas from up to chapter 2 (time value of money). The equation of value may contain"..." as you are not expected to write out all of the terms. At the minimum, you should include the first two and the last two terms in order to demonstrate the pattern). Your sum must not include short- forms such as or b. Use the equation for the sum of n terms of a geometric progression. ( - ) to simplify the sum you determined in part (a) and cateulate the accumulated value of your savings on your 55 birthday, Clearly indicate the first term (1) and the common ratio (n). [9 marks] Suppose on your 23 birthday, you begin saving $250 per month in an account earning /12 = 8%. (Your first savings deposit is on your 23rd birthday.) a. Suppose you make your final deposit on your 54 birthday. It is now your 55th birthday. Draw a complete time diagram include a focal date and write an equation of value in order to compute the value of your savings on your 55" birthday, Your equation of value must be written solely based on ideas from up to chapter 2 (time value of money). The equation of value may contain"..." as you are not expected to write out all of the terms. At the minimum, you should include the first two and the last two terms in order to demonstrate the pattern). Your sum must not include short- forms such as or b. Use the equation for the sum of n terms of a geometric progression. ( - ) to simplify the sum you determined in part (a) and cateulate the accumulated value of your savings on your 55 birthday, Clearly indicate the first term (1) and the common ratio (n)