Suppose you invest $50 a month in an annuity that earns 48% APR compounded monthly. How much money will you have in this account after 2 years?
A: 2001.29
B: 751.29
C: 1954.13
D: 1536.19
Solution:
use formula P[((1+(r/n)^(nt))-1)/(r/n)]
Solution 50[((1+(0.48/12)^(2 x 12))-1)/(0.48/12)]
= C $1954.13