Deposits of $150 per month are put into an investment plan that pays an APR of 3.8%. How much money will be in the plan after 21 years?
This is the formula you would use to find the FV of your investment plan:
FV = P x {[1 + R]^N - 1 / R}
FV =150 x {[1 + 0.038/12]^(21*12) - 1 / (0.038/12)}
FV =150 x {[1 + 0.003166667]^252 - 1 / (0.003166667)}
FV =150 x {[1.003166667]^252 - 1 / (0.003166667)}
FV =150 x { 1.2182956173............../ (0.00316667)}
FV =150 x 384.72493178165...........
FV =$57,708.74 This is the balance in the investment account after 21 years.
