It is now January 1. You want to start saving by making regular deposits of $600...

It is now January 1. You want to start saving by making regular deposits of $600 each, once every 6 months, in the bank. The first payment will be made today. The bank pays an APR of 9% with semiannual compounding. How much will be in your bank account after 13 years?

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Expert Solution

The periodicals savings amounts to an annuity due of 26 semi annual payments (13 years*2).

Amount available in 13 years = $29,826.79 Calculated as Future Value of the annuity as follows:

jeff jeffy answered 1 year ago

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