Sunday

January 25, 2015

January 25, 2015

Posted by **Aly** on Thursday, January 20, 2011 at 5:20pm.

d. Determine the weekly deposit without technology.

Can someone provide me with the formula please?

- math formula? -
**Damon**, Thursday, January 20, 2011 at 5:53pmThat is called a sinking fund

Since it is compounded monthly do it all monthly and divide the deposit by 4 to get the weekly figure.

S =D [ (1+r)^n -1 ] /r

S is what we need at the end, in this case 10,000

D is the monthly deposit (remember divide it by four for weekly)

n is the number of compounding periods, in this case 5*12 = 60

r is the interest rate (decimal) at each compounding period, in this case .12/12 = .01

so

10,000 = D[ 1.01)^60 -1 ] / .01

10,000 = D (0.817)/.01 = D (81.7)

D = 122.44

D/4 = $30.61 per week

**Answer this Question**

**Related Questions**

annuities - 8. Mary would like to save $10 000 at the end of 5 years for a ...

personal finance - A.After a protracted legal case, Joe won a settlement that ...

personal finance - After a protracted legal case, Joe won a settlement that will...

Personal Finance Concepts - After a protracted legal case, Joe won a settlement ...

Finance - Please answer these questions: 1. After a protracted legal case, Joe ...

Personal Finance - Mary just deposited $33,000 in an account paying 7% interest...

finance - Barbara wants to save money to meet 2 objectives: i. She would like to...

math - Suppose you start saving today for a $30,000 down payment that you plan ...

Business - A. Joe won a lottery jackpot that will pay him $12,000 each year for ...

Math - Connie wants to have an annuity payment of $2,000 at the END of every ...