Connie made deposits of $2,000 at the beginning of each year for four years. the rate she earned is 5% annually. what is the value of connie's account in four years?
To get the value of Connie's deposits we use the future value of annuity: FV=P[((1+r)^n-1)/r] where: P=periodic deposits r=rate n=time thus plugging our values in the formula we get: FV=2000[((1+0.05)^4-1)/0.05] FV=$8620.25
