If your parents deposited $1,000 upon your birth and deposited $1,000 each year on your birthday including your 21st birthday. How much money will you have at the end of your 21st year if the investment earns 4% per year

FV of annuity = $33247.96979 rounded off to $33247.97

Explanation:

To calculate the value of the investment at the end of the period, we will use the formula for the future value of annuity. The annuity is an annuity due as the investment is made at the start of the period. The formula for future value of annuity due is attached.

FV of annuity = (1+0.04) * 1000 *[((1+0.04)^21 - 1) / 0.04]

FV of annuity = $33247.96979 rounded off to $33247.97

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