Suppose a young couple deposits $700 at the end of each quarter in an account that earns 7.2%, compounded quarterly, for a period of 3 years. How much is in the account after the 3 years? (Round your answer to the nearest cent.) After the 3 years, they start a family and find they can contribute only $200 per quarter. If they leave the money from the first 3 years in the account and continue to contribute $200 at the end of each quarter for the next 18 1 2 years, how much will they have in the account (to help with their child's college expenses)? (Round your answer to the nearest cent.)
Suppose a young couple deposits $700 at the end of each quarter in an account that earns 7.2%, compounded quarterly, for a period of 3 years. How much is in the account after the 3 years? (Round your answer to the nearest cent.) After the 3 years, they start a family and find they can contribute only $200 per quarter. If they leave the money from the first 3 years in the account and continue to contribute $200 at the end of each quarter for the next 18 1 2 years, how much will they have in the account (to help with their child's college expenses)? (Round your answer to the nearest cent.)
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Suppose a young couple deposits $700 at the end of each quarter in an account that earns 7.2%, compounded quarterly, for a period of 3 years. How much is in the account after the 3 years? (Round your answer to the nearest cent.)
After the 3 years, they start a family and find they can contribute only $200 per quarter. If they leave the money from the first 3 years in the account and continue to contribute $200 at the end of each quarter for the next
18
years,
| 1 |
| 2 |
how much will they have in the account (to help with their child's college expenses)? (Round your answer to the nearest cent.)
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