Question

Jeremy Denham plans to save $5,000 every year for the next eight years, starting today. At the end of eight years, Jeremy will turn 30 years old and plans to use his savings toward the down payment on a house. He opens the account with $40,000. If his investment in a mutual fund will earn him 10 percent semi-annually, how much will he have saved in eight years when he buys his house?

Answer 1

I have written the answer in this photo.