posted by ms guzman on .
Djer invests $5000 each year into a mutual fund earning 6.15% compounded annually. After 8 years he stops making payments, but leaves the funds invested for an additional 4 years.
a) What is the value of the fund at the end of 8 years? $
b) What is the value of the fund after an additional 4 years? $
For an annual payment P for n years at interest rate r, the value of the investment is
After 8 years
For the next 4 years