A periodic deposit is made into an annuity with the given terms. Find how much should be regularly deposited in order to have the specified final amount in the account. Round your answer to the nearest dollar.

Future value:	$101,000
Interest rate:	3.4%
Frequency	annually
Time:	17 years

To solve this problem, we will use the future value formula for an ordinary annuity:

\[
FV = P \times \frac{(1 + r)^n - 1}{r}
\]

Where:
- $ FV $ is the future value of the annuity (in this case, $101,000).
- $ P $ is the regular deposit amount (what we need to find).
- $ r $ is the interest rate per period (for annual deposits, this is the yearly interest rate, 3.4% or 0.034 as a decimal).
- $ n $ is the number of periods (since the deposits are made annually, $ n = 17 $).

Now, we rearrange the formula to solve for $ P $:

\[
P = \frac{FV}{\frac{(1 + r)^n - 1}{r}}
\]

Let's calculate the regular deposit amount $ P $.The regular deposit amount should be approximately **$4,486** annually in order to accumulate a future value of $101,000 over 17 years with an interest rate of 3.4%.

Would you like more details or have any questions?

Here are five related questions to explore:

1. How does the deposit amount change if the interest rate increases to 4%?
2. What would the deposit amount be if the future value goal were $150,000 instead of $101,000?
3. How does the total interest earned over the 17 years compare to the total deposits made?
4. How does the result change if the deposits are made monthly instead of annually?
5. What would be the future value if the regular deposit is $5,000 per year?

**Tip**: Small changes in the interest rate can have a significant impact on the future value of an annuity due to compounding effects.

A periodic deposit is made into an annuity with the given terms. Find how much should be regularly deposited in order to have the specified final amount in the account. Round your answer to the nearest dollar.
Future value: $101,000
Interest rate: 3.4%
Frequency: annually
Time: 17 years

Learn how to calculate the regular deposit amount needed to accumulate a future value of $101,000 in an annuity with an annual interest rate of 3.4% over 17 years. This problem involves key concepts like compound interest and annuity calculations, suitable for Grades 10-12.

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