+0  
 
0
273
3
avatar

If you saved $1000 per month for 15 years at 6% interest you would have?   

How much interest did you earn?   

Guest Apr 20, 2017
Sort: 

3+0 Answers

 #1
avatar
0

Use this formula to find the Future Value of the investment:

FV=P{[1 + R]^N - 1/ R}

FV =$290,818.71

Guest Apr 20, 2017
 #2
avatar
0

This isn't the right answer. it says it's $290,705.02. It says the intrest is $110,705.02

Guest Apr 20, 2017
 #3
avatar
0

FV=P{[1 + R]^N - 1/ R}

FV =1,000 x [1 + 0.06/12]^(15*12)

FV =1,000 x 1.005^180 - 1 / 0.06/12}

FV =1,000 x   2.45409356.. - 1 / 0.005

FV =1,000 x             290.81871244944262756649261253386

FV =$290,818.71 - This is the accurate calculation. Show it to your teacher.

$290,818.71 - [$1,000 x 180] =$110,818.71 - This is the interest earned over 15 years.

Guest Apr 20, 2017

12 Online Users

New Privacy Policy (May 2018)

We use cookies to personalise content and advertisements and to analyse access to our website. Furthermore, our partners for online advertising receive pseudonymised information about your use of our website. Please click on "Accept cookies" if you agree to the setting of cookies. Cookies that do not require consent remain unaffected by this, see cookie policy and privacy policy.