Use the annuity/compound interest formula:
FV=A(R^n-1)/(R-1)
where
A=monthly deposit
R=1+interest/period=1+0.02/12
FV=future value = 20000
n=number of periods = 7*12
Solve for A, where
How much would you need to deposit in an account each month in order to have $20,000 in the account in 7 years? Assume the account earns 2% interest.
1 answer
1 answer