Tony wants to save $10,000 in 6 years. assuming a 4% interest rate, what is the minimum he must save each month to reach his goal? a) $103 b) $113 c) $123 d) $133

We have been given that Tony wants to save $10000 in 6 years.

That means future value S = $10000

Time t= 6 years

Interest rate = 4% yearly = 0.04 yearly

n=12 months per year

Now we have to find monthly payment to recieve $10000 in 6 years. so we need to apply monthly payment formula which is

which is approx $123.

Hence final answer is C) $123.