Richard an Elaine McCormick would like to have 20,000in5yearstomakeadownpaymentonahome.Theydecidetosave 20,000in5yearstomakeadownpaymentonahome.Theydecidetosave 350 at the beginning of each month for the next 4 years. The money is in an account that pays 6% compounded monthly. How much will they need to save in the fifth year?
Richard an Elaine McCormick would like to have 20,000in5yearstomakeadownpaymentonahome.Theydecidetosave 20,000in5yearstomakeadownpaymentonahome.Theydecidetosave 350 at the beginning of each month for the next 4 years. The money is in an account that pays 6% compounded monthly. How much will they need to save in the fifth year?
Smart Aleck: Why did join words together, which makes it difficult to read? Do you need help?
The McCormicks will save a total of $19,028.91 in 4 years. Therefore, they need to save in the 5th year a total of: $20,000 - $19,028.91=$971.09
