Posted by **Alicia** on Sunday, January 16, 2011 at 12:44pm.

Is this answer correct?

Jeremy is in Grade 8. He has a paper route and wants to save for his college education. He determines that he has $100 per month to put into an account at 6%/a compounded monthly. How much will he have at the end of five years for his college education?

n = 12 x 5 = 60

R = 100

I = 0.06/12 = 0.005

Time

(Years) Amount of money at the beginning of the year Interest for the year New amount of money by the end of the year

1 n/a n/a 1200$

2 1200$ 1200[0.6][12] = 86.40 1286.40$

3 1286.40$ 1286.40[0.6][12] = 92.62 1379.02$

4 1379.02$ 1379.02[0.6][12] = 99.29 1478.31$

5 1478.31$ 1478.31[0.6][12] = 106.44 1584.75$

## Answer this Question

## Related Questions

- Math - Jeremy is in Grade 8. He has a paper route and wants to save for his ...
- Math - Jeremy is in Grade 8. He has a paper route and wants to save for his ...
- Algebra - You earn $250 per month from your part-time job. You are in a kayaking...
- Algebra - Monthly Budget: You earn $250 per month from your part-time job. You ...
- MATH FINANCE - Mr. Smith wants to save for his son’s college education. If he ...
- math - how do i solve for this question? Mr. Smith wants to save for his son's ...
- english - Education in financial planning teaches (simple present tense) me how ...
- Math - Jeremy uses the linear function G=12h+50 to represent the grade, G (in ...
- math - Steri-strips cost $4.95 per box, there are 100 per box. If an orthopedic ...
- Algebra - After one month at a new job you decide to save $50. Each month you ...