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gewusel gewusel
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6 years ago
Conchita Martinez saves $17.25 at the end of each month and deposits the money in an account, paying 4.96% compounded quarterly.
a) How much will she accumulate in 22 years?
b) How much of the accumulated amount is interest?
Textbook 
Contemporary Business Mathematics with Canadian Applications

Contemporary Business Mathematics with Canadian Applications


Edition: 11th
Authors:
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wrote...
6 years ago
PMT = 17.25, i = 0.0496 ÷ 4 = 0.0124, n = 22 × 12 = 264, c =   = 
a)    p =   - 1 = 0.00411637
   FVg = 17.25  = 17.25(475.6458279) = $8204.89
b) Interest = 8204.89 - 264(17.25) = 8204.89 - 4554.00 = $3650.89
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