Suppose you invest $\$ 8900$ at the end of each year into an account earning $6 \%$ interest (compounded annually). At the end of 6 years, how much money will be in the account?
A) $\$ 62,080.30$
B) $\$ 61,835.30$
C) $\$ 210,413.70$
D) $\$ 60,857.80$

Question

Quizplus · Accepted Answer

The future value of an annuity formula is used: $FV = P \times \frac{(1 + r)^n - 1}{r}$, where $P = 8900$, $r = 0.06$, and $n = 6$. Calculating gives approximately $\$ 62,080.30$.

Suppose You Invest $8900\$ 8900$8900 At the End of Each Year into an Account Earning

Suppose You Invest $\$ 8900$ At the End of Each Year into an Account Earning