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Kinda a hard question about finance

Asked by recee2544 16 days ago, 4 answers.

At the end of 40 years I want to have $500,000 with interest of 5%. How much money do I have to put in every month to get close to $500,000 in 40 years?

me, the ugly girl Answered by jadie on Nov 06, 2009, 11:35AM
42 answers

something between $1050-1100 per month.

... Answered by slavaim on Nov 06, 2009, 12:08PM
484 answers

this is straight forward I'll do it when I get back if no one else has done it.

... Answered by slavaim on Nov 06, 2009, 05:53PM
484 answers

Is the interest paid yearly or monthly? If you're trying to find the present value it's just a simple calculation

Present value = future value after t periods / (1+r)t

r = interest rate
t = no of periods

PV = 500000/(1.05)^40 = $71022.84 / 12 months = $5918.57 per month

Well, it's not my strongest subject. Not confident about that at all happy

Moj 'n' me Answered by phrannie on Nov 06, 2009, 07:26PM
4278 answers
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I did a little looking around...here is a basic compound interest calculator...you need to play with a little to get the answer you're looking for.

http://www.basic-mathematics.com/compound-interest-calculator.html

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