Kelly Malone plans to have $58 withheld from her monthly paycheck and deposited in a savings account that earns 12% annually. compounded monthly. If Malone continues with her plan for one and one-half years, how much will be accumulated in the account on the date of the last deposit? (PV of $1. FV of $1. PVA of $1. and FVA of $1) (Use approprlate factor(s) from the tables provided. Round your final answer to 2 decimal places. Round "Table Factor" to 4 declmal places.) Periodic Cash Table Factor Total Accumulation Flow Table Values are Based on:
Kelly Malone plans to have $58 withheld from her monthly paycheck and deposited in a savings account that earns 12% annually. compounded monthly. If Malone continues with her plan for one and one-half years, how much will be accumulated in the account on the date of the last deposit? (PV of $1. FV of $1. PVA of $1. and FVA of $1) (Use approprlate factor(s) from the tables provided. Round your final answer to 2 decimal places. Round "Table Factor" to 4 declmal places.) Periodic Cash Table Factor Total Accumulation Flow Table Values are Based on:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:**Text Transcription for Educational Website:**
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Kelly Malone plans to have $58 withheld from her monthly paycheck and deposited in a savings account that earns 12% annually, compounded monthly. If Malone continues with her plan for one and one-half years, how much will be accumulated in the account on the date of the last deposit? (PV of $1, FV of $1, PVA of $1, and FVA of $1) *Use appropriate factor(s) from the tables provided. Round your final answer to 2 decimal places. Round "Table Factor" to 4 decimal places.*
**Table:**
| Periodic Cash Flow | Table Factor | Total Accumulation |
|--------------------|--------------|--------------------|
| | | |
**Table Values are Based on:**
| | | |
|----------------------|-------|--------------|
| \( n = \) | | |
| \( i = \) | | |
**Explanation:**
This question involves calculating the future value of an annuity, where regular monthly deposits are made into an account with compound interest. Rounding instructions specify that the "Table Factor" should be calculated to four decimal places, and the "Total Accumulation" should be rounded to two decimal places.
In the context of financial mathematics, tables can be used for reference values to find the present value (PV) or future value (FV) of a given cash flow over time. This exercise requires identifying and applying the correct table factors for these calculations.
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