Question

Assume that you buy a 49,000 VNĐ milk tea cup everyday, 30 days per month. As 12 months interest rate - 6.3% quoted by Vietcombank, how much money do you have after 10 years if you invest monthly after saving your money?

Answer 1

To calculate the future value of your monthly investments after saving your money, i can use the formula for the future value of an ordinary annuity:

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

Where:

FV = Future Value

P = Monthly investment amount

r = Monthly interest rate

n = Number of months

Given:

Monthly investment amount (P) = 49,000 VNĐ

Monthly interest rate (r) = 6.3% / 12 = 0.00525

Number of months (n) = 10 years * 12 months/year = 120 months

Plugging in these values, i can calculate the future value:

FV = 49,000 * ((1 + 0.00525)^120 - 1) / 0.00525

Calculating this expression, the future value is approximately 7,565,000 VNĐ.

Therefore, after 10 years of investing 49,000 VNĐ per month and earning an interest rate of 6.3% per year, you would have approximately 7,565,000 VNĐ.