Future Value [2912]

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Brandt has $20,000 and expects to get an additional $30,000 at the end of the 5th year.  If he saves $1,200 per year for 10 years and increases his savings to $2,400 starting with the 11th year, how much will he have at the end of 20 years?  Assume an interest rate of 8%.

 

Column

Rate

Period

Amount

Factor

Value

1

8.0%

20

$20,000

4.660957

$93,219

1

8.0%

15

$30,000

3.172169

$95,165

2

8.0%

20

$1,200

45.761964

$54,914

2

8.0%

10

$1,200

14.486562

$17,384

 

 

 

 

 

$260,682


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