You have a stock mutual fund in which you put $3,000 per year

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You have a stock mutual fund in which you put $3,000 per year. How much will you accumulate in the account in 25 years if the interest rate is 10 percent? What if they have $4,000 to deposit in the mutual fund earning 10 percent? If they add $2,000 to that account annually, how much will they have accumulated in 15 years? (Show all work.)

Greg has negotiated a $20,000 price on a new pick-up truck. The manufacturer is offering a $1,500 rebate or 3.9 percent, three-year financing. Greg is also able to get 7 percent, three-year financing at his credit union. If Greg plans to finance $18,000 over three years, should he take the rebate or the 3.9 percent financing? (Show all work.) 

    • 12 years ago
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