Lauren deposited $1,200 at the end of every month into an RRSP for 7 years. The interest rate earned was 4.75% compounded semi-annually for the first 4 years and changed to 5.00% compounded monthly for the next 3 years. What was the accumulated value of the RRSP at the end of 7 years?

Lauren deposited $1,200 at the end of every month into an RRSP for 7 years. The interest rate earned was 4.75% compounded semi-annually for the first 4 years and changed to 5.00% compounded monthly for the next 3 years. What was the accumulated value of the RRSP at the end of 7 years?

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 10PROB

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Question

Lauren deposited $1,200 at the end of every month into an RRSP for 7 years. The
interest rate earned was 4.75% compounded semi-annually for the first 4 years and
changed to 5.00% compounded monthly for the next 3 years. What was the
accumulated value of the RRSP at the end of 7 years?
$0.00
Round to the nearest cent

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