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20,000 in the bank earning interest of 0.5 percent per month...

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I now have $20,000 in the bank earning interest of 0.5 percent per month. I need $30,000 to make a down payment on a house. I can save an additional $100 per month. How long will it take me to accumulate the $30,000?

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Solution Summary

The solution explains how the calculate the time period given the loan amount and the fixed monthly payments.

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I now have $20,000 in the bank earning interest of .5 percent per month. I need $30,000 to make a down payment on a house. I can save an additional $100 per month. How long will it take me to accumulate the $30,000?

There are 2 cash flows stream here. $20,000 would continue to earn ...

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