Question

Mr. Chan will deposit $25000 in a bank account at the beginning of each year from 2007 to 2012. If the interest is compounded yearly and the interest rate is 4% p.a., find the total amount that he can get at the beginning of 2013. (corr. to 3 sig. fig.)

Answer 1

@hartnn

Answer 2

looks like annuity setup

Answer 3

P = 25,000
r = .04
n = 6

Answer 4

\(A = P[ (1+r)^n + (1+r)^{n-1} + .... (1+r)]\)

= \(P[\frac{1-(1+r)^n }{ 1-(1+r)}]\)

Answer 5

plug and chug..

Answer 6

ahhh....wait

Answer 7

ha take ur time not an easy problem :)