Question
$A=c\left(\frac{(1+r)^{t}-1}{r}\right)(1+r)$Patrice will deposit $\$ 4000$ every year in an annuity for10 yr at a rate of $7 \% .$ How much will be in the account after 10 yr?
Step 1
In this case, $c$ is the amount deposited each year, $r$ is the interest rate, and $t$ is the number of years. Show more…
Show all steps
Your feedback will help us improve your experience
Katelyn Chen and 64 other Algebra educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Key Concepts
Recommended Videos
An annuity is an account into which money is deposited every year. The amount of money, $A$ in dollars, in the account after $t$ yr of depositing $c$ dollars at the beginning of every year earning an interest rate $r$ (as a decimal) is $A=c\left[\frac{(1+r)^{t}-1}{r}\right](1+r)$ Use the formula for Exercises $77-80 .$ Patrice will deposit $\$ 4000$ every year in an annuity for 10 yr at a rate of $7 \%$. How much will be in the account after 10 yr?
Exponential and Logarithmic Functions
Exponential Functions
$A=c\left(\frac{(1+r)^{t}-1}{r}\right)(1+r)$ Haeshin will deposit $\$ 3000$ every year in an annuity for 15 yr at a rate of $8 \% .$ How much will be in the account after 15 yr?
Inverse, Exponential, and Logarithmic Functions
$A 10$ -year annual annuity due with the first payment occurring at date $t=7$ has a current value of $\$ 50,000 .$ If the discount rate is 13 percent per year, what is the annuity payment amount?
Transcript
18,000,000+
Students on Numerade
Trusted by students at 8,000+ universities
Watch the video solution with this free unlock.
EMAIL
PASSWORD