00:01
Let us start with our question.
00:02
The aim is to find how much money should be deposited monthly if the investment earned 8 percent, that is our r, monthly for compoundly.
00:17
So, we have the formula for annually value that is fva is equal to p multiplied by 1 plus i raise to n minus 1 divided by our, so this is the formula.
00:42
Now, we will compute the formula.
00:45
So, we have fv is equal to, right, our i is equal to, that is rate of interest, 8 percent, right.
00:57
So, this will be for monthly.
01:02
So, what we will be doing is 0 .08 divided by 12, monthly is for 12.
01:09
So, this will give you 0 .0067, right...