Posted by **Kristen** on Wednesday, May 9, 2012 at 5:19am.

Suppose payments were made at the end of each month into an ordinary annuity earning interest at the rate of 8%/year compounded monthly. If the future value of the annuity after 14 yr is $70,000, what was the size of each payment? (Round your answer to the nearest cent.)

- math -
**Reiny**, Wednesday, May 9, 2012 at 8:30am
This time your formula is

Amount = paym( (1+i)^n - 1]/i

give it a try, following the steps I used in your previous post.

(If you are studying this topic, you should be able to do these type of questions, they are routine questions.)

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