Answer:
Step-by-step explanation:
Given
- Amount of contribution P = 500
- Interest rate r = 8% or 0.08
- Number of compounds n = 4
- Time t = 30 years
Find the annuity using the formula below:
- [tex]A= P*(1 - (1 + r/n)^{-nt})/(r/n)[/tex]
- [tex]A= 500*(1 -(1+0.08/4)^{-30*4})/(0.08/4) = 22677.69[/tex]
