Explore BrainMass

Explore BrainMass

    Future Value

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    You need to accumulate $10,000. To do so you plan to make deposits of $1250 per year, with the first payment being made a year from today in a bank account that pays 12 percent interest. Your last deposit will be less than $1250 if less is need to round out to $10,000. How many years will it take you to reach your $10,000 goal, and what will be the last deposit?

    © BrainMass Inc. brainmass.com June 3, 2020, 9:37 pm ad1c9bdddf
    https://brainmass.com/business/annuity/future-value-191409

    Solution Preview

    You need to accumulate $10,000.  To do so you plan to make deposits of $1250 per year, with the first payment being made a year from today in a bank account that pays 12 percent interest.  Your last deposit will be less than $1250 if less is ...

    Solution Summary

    The solution calculates the number of years required to achieve a future value, given the value of annual deposits (annuity).

    $2.19

    ADVERTISEMENT