You invest 800$ per year at the beginning of each year for 8 years at an...

You invest 800$ per year at the beginning of each year for 8 years at an interest rate of 8% the future value of your koney will be equal to approximately

A 9190

B 18508

C 18989

D none of the above

Expert Solution

Total Year of loans = 8 Years
Interest rate = 8% Per Annum

CALCULATION OF THE FUTURE VALUE OF THE INVESTMENT

Years	PAYMENTS	INTEREST @ 8%	CUMULATIVE BAL.	Remarks
1	800.00	64.00	864.0	(Payments +Interest)
2	800.00	133.12	1,797.1	(Opning Bal +Investmet) + Interest
3	800.00	207.77	2,804.9	(Opning Bal +Investmet) + Interest
4	800.00	288.39	3,893.3	(Opning Bal +Investmet) + Interest
5	800.00	375.46	5,068.7	(Opning Bal +Investmet) + Interest
6	800.00	469.50	6,338.2	(Opning Bal +Investmet) + Interest
7	800.00	571.06	7,709.3	(Opning Bal +Investmet) + Interest
8	800.00	680.74	9,190.0	(Opning Bal +Investmet) + Interest


So , As per the above
Answer = Option A = $ 9190

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