Answer
$\$ 360,262.21$
Work Step by Step
We are given:
$R=\$ 5000, i=0.12, n=20$
The amount of an annuity is given by:
$A_{f}=R \frac{(1+i)^{n}-1}{i}$
$A_{f}=5000\frac{(1+0.12)^{20}-1}{0.12}=\$ 360,262.21$
College Algebra 7th Edition
by Stewart, James; Redlin, Lothar; Watson, Saleem
Published by
Brooks Cole
ISBN 10:
1305115546
ISBN 13:
978-1-30511-554-5
Chapter 8, Sequences and Series - Section 8.4 - Mathematics of Finance - 8.4 Exercises - Page 622: 5
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