Question

You are considering investing in a bank account that pays a nominal annual rate of 7%, compounded monthly. If you invest $3,000 at the end of each month, how many months will it take for your account to grow to $205,000?

Answer #1

Future value | $ 205,000.00 |

Monthly investment | $ 3,000.00 |

Annual rate | 7% |

Monthly rate | 0.583% |

Number of months |
87.43 |

Excel working:

You are considering investing in a bank account that pays a
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account to grow to $250,000? Note that if the final answer is not a
whole number, be sure to round it up to the nearest whole
number.

22. You are considering an investment in a Third World bank
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fractional months up.
a. 31
b. 28
c. 34
d. 23
e. 22

You are currently investing your money in a bank account that
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(Show ALL work and formulas used!)

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