alp and alper are saving money for their future

Finance Jan 13, 2021

alp and alper are saving money for their future. alp deposits 4000 to his savings account on the first day of each year and Alper deposits 4000 to his savings account on the last day of each year. if they both earn 8 percent annual interest, what is the difference in their savings account balances at the end of 24 years?

Expert Solution

Difference in their savings account balances at the end of 24 years

=4000/8%*(1.08^24-1)*(1.08-1)
=21364.722949

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