You are saving for a Porsche Carrera Cabriolet, which currently sells for nearly half a million dollars. Your plan is to deposit $30,800 at the end of each year for the next 11 years. You expect to earn 7 percent each year. Required: 1. Determine how much you will have saved after 11 years. 2. Determine the amount saved if you were able to deposit $33,300 each year. 3. Determine the amount saved if you deposit $30,800 each year, but with 11 percent interest.

Explanation:

You need to use the formula to calculate the future value of a constant annual deposit:

Where r is the expected percent return, and n the number of years.

1. For a deposit of  $30,800 at the end of each year for the next 11 years, with 7% interest.

You will have saved:

2.  For a deposit of $33,300 each year, for the same number of years and with the same interest rate.

You will have saved:

3. For a deposit of $30,800 each year, but with 11 percent interest, for 11 years.

answer; /// i believe the correct answer is (all of the above);

answer; ///global;