A graduating high school student decides to take a year off and work to save money for college. The student plans to invest all money earned in a savings account earning 6% interest, compounded quarterly. The student hopes to have $5000 by the time school starts in 12 months. How much money will the student have to save each month

amount = 407 per month

Step-by-step explanation:

given data

future value = $5000

interest rate = 6% = = 0.015

time = 12 months = 4 compound per year

solution

we use here formula that is

amount = future value ×   .......................1

put here value and we get

amount = 5000 ×  

amount = 1222 per quarter

or amount = 407 per month

it is a reproduction.

step-by-step explanation: