What is the maximum you can spend on the new car

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Question: Your parents agree to pay half of the purchase price of a new car when you graduate from college. You will graduate and buy the car two years from now. You have $2,000 to invest today and can earn 3% compounded monthly on invested funds, each month you will work and save $200 to invest in this account. If your parents match the amount of money you have in two years, what is the maximum you can spend on the new car?

Reference no: EM133223761

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