You saving up to buy a car. You plan on making your first savings deposit one year from today, and then making deposits for the following 3 years. These are the amounts you plan to save at the end of each year:
Year Projected Savings Amount
1 $6,000
2 $6,000
3 $7,000
4 $7,000
You expect to earn an annual rate of 6% per year throughout. What amount will you have available at the end, at time 4, when you will buy the car?
Please show how to solve this by using a financial calculator ONLY.
a) $21,308 b) $28,308 c) $7,420 d) $26,000 e) $27,560
Please show how to solve this by using a financial calculator ONLY.