Mike's parents decide to deposit an amount of money at the end of every month into a bank account earning interest at the rate of 5% per year compounded monthly. If the savings program began when Mike was 4 years old, how much money should his parents deposit monthly so there will be an accumulated fund of $120,000 by the time he turns 19 years old?
Mike's parents decide to deposit an amount of money at the end of every month into a bank account earning interest at the rate of 5% per year compounded monthly. If the savings program began when Mike was 4 years old, how much money should his parents deposit monthly so there will be an accumulated fund of $120,000 by the time he turns 19 years old?
Chapter5: Gross Income: Exclusions
Section: Chapter Questions
Problem 52P
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Mike's parents decide to deposit an amount of money at the end of every month into a bank account earning interest at the rate of 5% per year compounded monthly. If the savings program began when Mike was 4 years old, how much money should his parents deposit monthly so there will be an accumulated fund of $120,000 by the time he turns 19 years old?
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