James plans to fund his individual retirement account,beginning today,with annual deposits of $2,000,which he will continue for the next 20 years.If he can earn an annual compound rate of 8 percent on his deposits,the amount in the account upon retirement would be: (Round to the nearest whole dollar)

Question

Quizplus · Accepted Answer

FV = PMT × 11ea7fdb_fc17_e13f_a768_57ae9fd8a3d8_TB2902_11 × 11ea7fdb_fc17_e140_a768_c18ab8afb01b_TB2902_11 FV = 2,000 × 11ea7fdb_fc17_e141_a768_a5baa9dd5eb2_TB2902_11 × 11ea7fdb_fc17_e142_a768_cd68a2c8b25f_TB2902_11 = $98,845.84
Using a financial calculator:
N = 20, I/Y = 8, PV = 0, PMT = -2,000, cpt FV = 91,523.93
91,523.93 × 1.08 = $98,845.84

James Plans to Fund His Individual Retirement Account,beginning Today,with Annual