Question

You are to make monthly deposits of $700 into a retirement account that pays an APR of 10.2 percent compounded monthly. If your first deposit will be made one month from now, how large will your retirement account be in 32 years

Answer 1

$20,41,995.21

Step-by-step explanation:

The calculation of retirement account value is given below:-

Monthly deposit 700 pmt

Interest rate 0.102

years 32

Compounding per year 12

Monthly interest rate 0.0085 rate

Number of periods 384 nper

The formula is shown below

=FV(rate,nper,pmt,pv)

After applying the formula the Retirement account value is $20,41,995.21

and for better calculation please find the attachment.