In 1986, a family member invested $100 each month into a savings account with an interest rate of 0.25% (that didn’t change). In 2016, you decided you needed to use that saved up money for a big purchase, so you cash the savings account out.
How much money should be in the account using the FV formula?
If your family put the $105 each month instead of just the $100, how much extra would be in the account compared to the total value from the first part?
If you were to invest $200 each month, what would your savings account have in 2016?
