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what is the future of 17 periodic payments of 7960 each made at the end of each period and compounded at 10%?

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Final answer:

To find the future value of 17 periodic payments of $7960 each made at the end of each period and compounded at 10%, we can use the formula for the future value of an annuity. Plugging in the values, we get a future value of $198,648.95.

Step-by-step explanation:

To find the future value of 17 periodic payments compounded at 10%, we can use the formula for the future value of an annuity. The formula is:

FV = P * [(1+r)^n - 1] / r

where FV is the future value, P is the payment amount, r is the interest rate, and n is the number of periods or payments.

In this case, P = $7960, r = 10%, and n = 17. Plugging in these values, we can calculate the future value:

FV = 7960 * [(1+0.10)^17 - 1] / 0.10 = $198,648.95

User Johan Vergeer
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