1. At the end of each year, $2000 is deposited into an account paying 4% compounded annually. Complete the following chart to determine the balance in the account after 5 years. Submit only the data for 5 years.
YEAR BEGINNING BALANE DEPOSIT INTEREST ENDING BALANCE
2. $12000 is deposited at the end of each quarter he into an account paying 6% compounded quarterly. What is the balance after 3years? What is the total interest earned?
3. $5000 is deposited at the end of each month into an account paying 9% compounded monthly. What is the balance at the end of 5years?
4. $3000 is deposited at the end of each quarter into a sinking fund 10% compounded quarterly. What is the balance after 7 years? What is the total interest earned?
5. Pet-R-Us is required to set up a sinking fund to accumulate $2000 by the end of 5 years. How much should be deposited at the end of January and July if the fund pays 3% compounded semi annually. What is the total interest earned?
6. In order to accumulate $5000 for the down payment on a car, how much should Ellsie deposit at the end of each month for the next two years into an account paying 6% compounded monthly?© BrainMass Inc. brainmass.com December 20, 2018, 11:32 am ad1c9bdddf
Thanks for letting me work on your post. Here is my explanation:
The balance in the account after 5 years is $2433.31.
The solution provides explanations how to find out the total balance based on the compounded interest.