To pay for her college education,Gina is saving $2,000 at the beginning of each year for the next eight years in a bank account paying 12 percent interest.How much will Gina have in that account at the end of 8th year? (Round up to the nearest whole dollar amount)

Question

Quizplus · Accepted Answer

FV = PMT × 11ea7fdb_fc17_6c03_a768_2ffd30b783ce_TB2902_11 × 11ea7fdb_fc17_6c04_a768_fbb1bc2c19dd_TB2902_11 FV = 2,000 × 11ea7fdb_fc17_6c05_a768_bd5f4141abad_TB2902_11 × 11ea7fdb_fc17_6c06_a768_01151ec1ff8b_TB2902_11 = $27,551.31
Using a financial calculator:
N = 8, I/Y = 12, PV = 0, PMT = -2,000, cpt FV = 24,599.38
24,599.38 × 1.12 = $27,551.31

To Pay for Her College Education,Gina Is Saving $2,000 at the Beginning