You deposit $4000 each year into an account earning 6% interest compounded annually. How much will you have in the account in 30 years?

i have no clue m8

To calculate the future value of an account with regular deposits, you can use the formula for the future value of an ordinary annuity.

The formula is:

FV = P * [(1 + r)^n - 1] / r

Where:
FV = Future value of the account
P = Amount deposited each year
r = Interest rate (as a decimal)
n = Number of years

In this case, you are depositing $4000 each year, the interest rate is 6% (0.06 as a decimal), and the number of years is 30.

Plugging the values into the formula, we have:

FV = 4000 * [(1 + 0.06)^30 - 1] / 0.06

Simplifying the equation further:

FV = 4000 * [(1.06)^30 - 1] / 0.06

Calculating (1.06)^30:

FV = 4000 * [5.743 - 1] / 0.06

Simplifying further:

FV = 4000 * 4.743 / 0.06

Calculating the final result:

FV = $314,860.00

Therefore, you will have approximately $314,860.00 in the account after 30 years.

To calculate the amount in the account after 30 years, we can use the formula for compound interest:

A = P(1 + r/n)^(nt)

Where:
A = the future amount in the account
P = the initial deposit amount each year
r = the annual interest rate (expressed as a decimal)
n = the number of times interest is compounded per year
t = the number of years

In this case, the initial deposit amount (P) is $4000, the annual interest rate (r) is 6% = 0.06 (as a decimal), the interest is compounded annually (n = 1), and the time period (t) is 30 years.

Plugging these values into the formula:

A = 4000(1 + 0.06/1)^(1*30)

Simplifying,

A = 4000(1 + 0.06)^30

Calculating the value inside the parentheses,

A = 4000(1.06)^30

Using a calculator or spreadsheet software to calculate (1.06)^30,

A ≈ 4000(2.427)

A ≈ $9,708.18

Therefore, you would have approximately $9,708.18 in the account after 30 years.

This question was already asked. I could see it in related questions below. Just in case you can't see it, Reiny said

"amount = 4000( 1.06^30 - 1)/.06
= ...."