A Lump Sum Amount of $8,000 Is Deposited in an Account

question 223

Multiple Choice

A lump sum amount of $8,000 is deposited in an account along with monthly contributions of $400 for 5 years in an investment earning 6.6% compounded quarterly. At the end of this time, the investor begins to withdraw $5,000 semi-annually for 3 years with interest at 7.2% compounded semi-annually. Determine the amount remaining at the end of this time.

• A) $13,180.18
• B) $13,682.27
• C) $14,118.25
• D) $15,898.44
• E) $16,605.13

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