Question
You need to accumulate $10,000. To do so, you plan to make deposits of $1,400 per year - with the first payment being made a
You need to accumulate $10,000. To do so, you plan to make deposits of $1,400 per year - with the first payment being made a year from today - into a bank account that pays 7% annual interest. Your last deposit will be less than $1,400 if less is needed to round out to $10,000. How many years will it take you to reach your $10,000 goal? Do not round intermediate calculations. Round your answer up to the nearest whole number.
___ year(s)
How large will the last deposit be? Do not round intermediate calculations. Round your answer to the nearest cent.
$ ____
Step by Step Solution
There are 3 Steps involved in it
Step: 1
To calculate the number of years it will take to reach the 10000 goal we can use the formula for the ...Get Instant Access to Expert-Tailored Solutions
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Step: 2
Step: 3
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