Sam got a job at the Brick. He plans to save $500 every month for 3 years to buy a car. The savings account earns 2.25% compounded monthly. If he puts the money in his savings account at the end of each month, what will be the present value of the balance in the account at the end of the three-year term?   Question 16 options:   A)  $17 390.19   B)  $18 000.00   C)  $27 284.81   D)  $18 408.04   E)  $18 603.37

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 14PROB
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Sam got a job at the Brick. He plans to save $500 every month for 3 years to buy a car. The savings account earns 2.25% compounded monthly. If he puts the money in his savings account at the end of each month, what will be the present value of the balance in the account at the end of the three-year term?
 

Question 16 options:

 

A) 

$17 390.19
 

B) 

$18 000.00
 

C) 

$27 284.81
 

D) 

$18 408.04
 

E) 

$18 603.37

 

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